Nowadays, hegemonic countries such as the United States, are more and more frequently forcing targeted countries and entities to change their behavior through financial and trade unilateral sanctions in order to achieve theirown goals of national security and economic interest. In response to such ways of improper extraterritorial application of domestic laws and regulations, China has enacted Rules on Counteracting Unjustified Extraterritorial Application of Foreign Legislation and Other Measures and Anti-Foreign Sanctions Law to safeguard its sovereignty and normal economic and trade activities interactions. Under this context, Chinese companies are possibly facing the punishment of Chinese blocking legislation for complying with foreign sanctions, or losing their markets due to foreign sanctions for implementing blocking bans. This is a conflict between the evolving trend of U.S. sanctions with expanded jurisdiction and precise targeting of sanctions and the developing system of Chinese blocking legislation, which leads to difficult practical situations and games of interests between states and individuals. Therefore, China’s blocking legislation system itself should be further improved, so as to help Chinese enterprises to build a compliance framework and find a way out through a clear exemption application, an effective relief system and the defense of foreign sovereignty compulsory doctrine.