According to Reuters, China has imposed sanctions on U.S. defense companies and their executives in response to a record U.S. arms package for Taiwan, once again underscoring the Taiwan issue as a central “red line” in relations with Washington.
On Friday, December 26, China’s Ministry of Foreign Affairs announced sanctions against 10 individuals and 20 U.S. defense companies, including a Boeing unit based in St. Louis, in response to arms deliveries to Taiwan. The measures, the ministry said, include freezing any assets held by the companies and individuals in China and banning Chinese organizations and citizens from doing business with them.
The sanctions list includes the founder of defense firm Anduril Industries and nine senior executives from companies subject to the restrictions. All of them are also barred from entering China. Other affected companies include Northrop Grumman Systems Corporation and L3Harris Maritime Services.
Beijing’s decision followed Washington’s announcement last week of an $11.1bn military aid package for Taiwan—the largest U.S. arms transfer to the island on record—which prompted a sharp response from Chinese authorities. A spokesperson for China’s foreign ministry said that “the Taiwan issue is at the core of China’s fundamental interests and the first red line that must not be crossed in China-U.S. relations.” According to the spokesperson, “any provocative actions that cross this line on Taiwan will be met with a resolute response from China,” while urging the United States to halt what it described as “dangerous” efforts to arm the island.
China regards democratically governed Taiwan as part of its own territory—a claim rejected by Taipei. Under U.S. law, the United States is obliged to provide Taiwan with the means to defend itself, yet such arms transfers have for years remained a persistent source of tension between Washington and Beijing.