China-US Economic Ties

China Sanctions US Defence Firms For Arms Sold to Taiwan

 

China’s foreign ministry said on Friday it will impose sanctions on two US aerospace and defence firms for providing weapons to Taiwan.

The sanctions against Lockheed Martin and Northrop Grumman would be imposed via China’s Anti-Foreign Sanctions Law, ministry spokesperson Mao Ning told a regular press briefing.

“We urge the US side to effectively abide by the one-China principle … cease US-Taiwan military liaison and stop arming Taiwan, or else it will be subject to a resolute and forceful retaliation by the Chinese side,” she said.

Mao named Lockheed Martin Corp’s branch in Missouri as the prime contractor that was directly involved in an arms sale to Taiwan on August 24 and said Northrop Grumman has repeatedly participated in the sale of weapons to Taiwan.

 

ALSO SEE: Is China’s Defence Minister Under Arrest? – US Diplomat Asks

 

Dozens of Chinese planes intimidating Taiwan this week

China has applied sanctions on US companies over selling weapons to Taiwan on numerous occasions before, and it is not immediately clear how they work or what they are intended to achieve given that neither company sells to China.

US President Joe Biden last month approved the transfer of up to $80 million in funds to Taiwan under the Foreign Military Financing programme, according to a notification sent to Congress.

The sanctions were imposed during a week of busy military activity around the democratically-governed island, in which a Chinese naval formation led by the aircraft carrier Shandong passed within 60 nautical miles (111 km) of Taiwan’s southeast.

Taiwan has also reported dozens of Chinese fighters, bombers and other aircraft flying into its air defence zone this week.

Beijing views the self-ruled island of Taiwan as a breakaway province that must accept Chinese sovereignty and has never renounced the use of force to achieve that goal.

China’s wide-ranging law to counter foreign sanctions came into force in 2021 in an apparent move to legalise tit-for-tat retaliation against punitive actions taken by foreign countries.

It has extraterritorial reach and is part of a suite of laws Beijing has introduced in recent years that analysts say may enable China to police countries’ behaviour towards it beyond its shores.

 

  • Reuters with additional editing by Jim Pollard

 

ALSO SEE:

 

Taiwan Slams China’s ‘Unilateral’ Cross-Strait Zone Plan

 

China Sanctions Lockheed Martin, Raytheon Again Over Taiwan

 

Taiwan Ramps up Drone Development to Guard From China Threat

 

China ‘to sanction’ US firms over Taiwan arms sales

 

Jim Pollard

Jim Pollard is an Australian journalist based in Thailand since 1999. He worked for News Ltd papers in Sydney, Perth, London and Melbourne before travelling through SE Asia in the late 90s. He was a senior editor at The Nation for 17+ years.

Recent Posts

China’s PBOC Has Room for More Reserve Ratio Cuts: Ex-Official

A former People's Bank of China official predicted on Sunday that policymakers would implement a…

34 mins ago

Wealthy Families, Private Firms Moving Billions Out of China – NYT

Rich Chinese families and private companies have taken or sent an estimated $50 billion a…

2 hours ago

Indonesia, ADB, Owners to Shut Coal Power Station Early

Jakarta and the Asian Development Bank have agreed to a deal that will see a…

2 hours ago

COP28: Over 110 Nations Join Deal to Triple Renewable Energy

The pledge by over half the world's countries to triple renewable energy was perhaps the…

1 day ago

Toyota and Honda Announce Cuts to Car Production in China

Honda Motor said on Saturday it was dismissing about 900 workers at its JV with…

1 day ago

US Pledges $3 Billion for Green Climate Fund at COP28

The US will give $3 billion to the Green Climate Fund, sources said Saturday. The…

1 day ago