Arm sales: China sanctions 3 U.S. defence companies


May 20, 2024

China has placed three defence companies in the United States on its list of “unreliable companies’’ for selling weapons to Taiwan.

China’s Ministry of Commerce announced on Monday.

The three companies added to China’s list of “unreliable companies’’ are Boeing Defence, Space & Security, General Atomics Aeronautical Systems and General Dynamics Land Systems.

The sanctions are intended to penalise the U.S. for supplying weapons to Taiwan, which Beijing considers part of its territory.

According to the ministry, the sanctioned companies would be prohibited from making further investments in China and their managers banned from travelling.

At the time the sanctions were announced, Lai Ching-te of Taiwan’s ruling Democratic Progressive Party (DPP) was being sworn in as the self-governing island’s new president.

The latest action adds to a series of sanctions Beijing has imposed on U.S. defence companies for selling weapons to Taiwan.

In September 2023, China had already sanctioned the U.S. firms Lockheed Martin and Northrop Grumman for such arms sales.

It added that five more companies followed in January.

Relations between Washington and Beijing had been very tense for some time, as the U.S. also repeatedly places Chinese companies on its sanctions list.

The Biden administration cites escalating pressure from China on Taiwan including increased military activity both in the air and at sea as justification for delivering arms to the island.

China considered the democratically governed island to be part of the People’s Republic and has threatened to invade on several occasions.

However, Taiwan maintained a strong sense of independence, and Lai has not signaled any intention to deviate from this stance.


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