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China Issues Sanctions Against 12 U.S. Defense-Related Companies

Comfort Ampomaaby Comfort Ampomaa
May 22, 2024
Reading Time: 3 mins read
Comfort Ampomaaby Comfort Ampomaa
in USA
0
China Issues Sanctions Against 12 U.S. Defense-Related Companies

File photo.

China has sanctioned 12 U.S. defense-related companies and 10 executives.

According to China’s Ministry of Foreign Affairs, the measures came after the U.S. “indiscriminately imposed illegal unilateral sanctions on a number of Chinese entities on the grounds of so-called Russian-related factors.

The ministry also listed U.S arms sales to Taiwan as a reason for the sanctions.

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The ministry said that the U.S. sale of arms to Taiwan “seriously violates” the one-China principle and joint communiqués between both countries, and “seriously undermines” China’s sovereignty and territorial integrity.

It stated that the U.S. has “ignored its objective and impartial position in the Ukrainian crisis” and has instead “engaged in unilateral bullying and economic coercion.”

The latest round of sanctions, imposed under China’s Anti-Foreign Sanction Law, will freeze all assets by the businesses inside China and denying the individuals and their immediate family members visas to enter the country, including Hong Kong and Macau.

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The businesses and individuals will also be banned from doing any business with Chinese firms.

The measures adds to those announced last year that barred Lockheed Martin Corp. and Raytheon Technologies Corp.’s Raytheon Missiles and Defense from importing goods into China or making new investments in the country.

The just sanctioned entities include units of Lockheed Martin, Raytheon, General Dynamics and other companies. Senior executives of Northrop Grumman Corporation and General Dynamics also were targeted.

Earlier this week, China announced sanctions on Boeing Defense, Space and Security and two other U.S. defense companies over arms sales to Taiwan, and against Mike Gallagher, a former Republican representative from Wisconsin who has shown support for the island.

China claims the self-governed island as its own territory, to be annexed by force if necessary. It has long opposed any weapon sales by the U.S. to the island. While the U.S. does not recognize Taiwan as a country, Washington is obligated by a federal law to ensure the island’s government has the means to defend itself.

Sanctions Wield Considerable Symbolic Weight

These sanctions are often mainly symbolic in nature. As such, it isn’t immediately clear what impact these actions would have.

While the immediate practical impact of these sanctions might be limited, given the minimal direct business exposure these US defense companies have in China, their symbolic weight is considerable.

These actions serve as a clear signal of China’s readiness to leverage its economic and political tools in response to perceived threats to its sovereignty and national security.

The sanctions also add complexity to the already strained US-China relations, contributing to a cycle of retaliation that could have broader implications for global stability.

For instance, the defense companies targeted by these sanctions are integral to the US’s defense infrastructure, and any disruptions, even symbolic ones, could have ripple effects.

The sanctions are part of a broader pattern of tit-for-tat measures that have characterized US-China relations in recent years. These sanctions highlight the deepening strategic rivalry between the two nations.

Taiwan remains a particularly sensitive issue, with both sides showing little willingness to compromise.

For Taiwan, US support is crucial for maintaining its defense posture against potential Chinese aggression.

Conversely, for China, preventing any form of international recognition or military support for Taiwan is a core aspect of its national policy.

This dynamic ensures that Taiwan will remain a flashpoint in US-China relations for the foreseeable future.

READ ALSO: SSNIT’s Hotels Sale: Ablakwa Decries Payment of GHS7.1m to Transaction Advisor

Tags: ChinaChina’s Anti-Foreign Sanction Lawone-China principleSanctionsTaiwan
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