China imposes sanctions on US defence firms over Taiwan arms deal | China
China’s foreign ministry has hit US defense companies, including Boeing, with sanctions after Donald Trump approved a massive arms sales package to Taiwan.
The measures against 10 individuals and 20 US firms, including Boeing’s manufacturing center in St Louis, Missouri, will freeze any assets companies and individuals own in China and ban local entities and individuals from doing business with them, the ministry said on Friday.
This comes after the Trump administration last week announced a package of arms sales to Taiwan worth more than $10 billion, including medium-range missiles and unmanned aerial vehicles. This was the largest arms sale in the history of bilateral relations.
China’s stance on Taiwan, namely that Taiwan should be united with the People’s Republic of China (something democratically governed Taipei rejects), was a turning point in its already weakened relations with the United States on trade and tariffs.
The ministry added that people on the Chinese sanctions list, including the founder of defense firm Anduril Industries and nine senior executives of the sanctioned companies, were banned from entering China.
Boeing produces fighter jets in St Louis, where more than 3,000 union workers went on strike this year over pay. Other companies targeted by sanctions include Northrop Grumman Systems Corporation and L3Harris Maritime Services.
A spokesman for China’s foreign ministry said on Friday: “The Taiwan issue is the foundation of China’s core interests and is the first red line in China-US relations that cannot be crossed. Any provocative actions that cross the line on the Taiwan issue will be met with a strong reaction from China.” They called on the United States to end “dangerous” efforts to arm the island.
Although such arms sales are a persistent source of friction with China, the United States is legally obligated to provide Taiwan with the means to defend itself.
The eight arms deals that made up the total sale included 420 Army tactical missile systems, or Atacms. The systems are similar to those sent to Ukraine by the Biden administration for its defense against Russia.
The State Department said at the time of the Taiwan arms sale that it served “U.S. national, economic, and security interests by supporting the recipient’s efforts to modernize its armed forces and maintain a credible defense capability.”
“Recommended sale[s] “Each of the agreements will help increase the security of the recipient and help maintain political stability, military balance and economic progress in the region,” it said.
Reuters contributed reporting
