China's New Supply Chain Laws Challenge UK and EU Businesses

In April 2026, China implemented two new regulations (Decree 834 and Decree 835) aimed at enhancing supply chain security and countering foreign extraterritorial jurisdiction. These laws create legal complexities for UK and EU companies with ties to Chinese supply chains, as they must navigate conflicting obligations. Decree 834 establishes a framework for protecting critical sectors, while Decree 835 allows for investigations and penalties against foreign companies that violate Chinese law. The regulations have already been enforced in relation to an investigation by the European Commission. Businesses are advised to assess their exposure and compliance with these new requirements. The laws may particularly affect sectors like solar, wind, and semiconductors, which are deemed critical by China. Legal and compliance teams must act promptly to address these developments.

Key Points: • China's Decree 834 and Decree 835 impose new supply chain security regulations. • UK and EU companies face legal conflicts due to these new Chinese laws. • Immediate compliance action is required to navigate these complex regulations.