China on Thursday announced rare sanctions against two U.S. defense companies over what it said is their support for arms sales to Taiwan, the self-governing island democracy Beijing claims as its own territory to be recovered by force if necessary.
Quick Read
- China announced sanctions against two U.S. defense firms, General Atomics Aeronautical Systems and General Dynamics Land Systems, citing their involvement in arms sales to Taiwan.
- The sanctions include freezing the assets of these companies in China and prohibiting their management from entering the country.
- General Dynamics, known for its Gulfstream and jet aviation services in China, contributes to making the Abrams tank for Taiwan. General Atomics, recognized for its Predator and Reaper drones, did not have its specific involvement with Taiwan detailed by Chinese authorities.
- These measures come amid economic challenges in China, including impacts from the COVID-19 pandemic, high unemployment, and a decline in foreign investment, making the imposition of such sanctions relatively rare.
- China’s Foreign Ministry claims that U.S. arms sales to Taiwan seriously violate the one-China principle, interfere with China’s internal affairs, and undermine its sovereignty and territorial integrity.
- The sanctions are enforced under China’s new law for countering foreign sanctions, reflecting Beijing’s legal framework to address perceived external threats.
- General Dynamics’ entities in Hong Kong are highlighted, emphasizing Beijing’s increasing control over the semi-autonomous city and its implications for foreign businesses.
- Despite no formal diplomatic relations, the U.S. remains a key ally to Taiwan, providing significant military support and hardware, which contrasts with the growing tensions and military activities in the region initiated by China.
- China’s military maneuvers around Taiwan, including deploying warplanes and navy ships, aim to test and intimidate Taiwan, although these actions have not significantly swayed public opinion in Taiwan against political unification with China.
The Associated Press has the story:
China sanctions 2 U.S. defense companies, says they support arms sales to Taiwan
Newslooks- BEIJING (AP) —
China on Thursday announced rare sanctions against two U.S. defense companies over what it said is their support for arms sales to Taiwan, the self-governing island democracy Beijing claims as its own territory to be recovered by force if necessary.
The announcement freezes the assets of General Atomics Aeronautical Systems and General Dynamics Land Systems held within China. It also bars the companies’ management from entering the country.
Filings show General Dynamics operates a half-dozen Gulfstream and jet aviation services operations in China, which remains heavily reliant on foreign aerospace technology even as it attempts to build its own presence in the field.
The company helps make the Abrams tank being purchased by Taiwan to replace outdated armor intended to deter or resist an invasion from China.
General Atomics produces the Predator and Reaper drones used by the U.S. military. Chinese authorities did not go into details on the company’s alleged involvement with supplying arms to Taiwan.
Beijing has long threatened such sanctions, but has rarely issued them as its economy reels from the COVID-19 pandemic, high unemployment and a sharp decline in foreign investment.
“The continued U.S. arms sales to China’s Taiwan region seriously violate the one-China principle and the provisions of the three China-U.S. joint communiqués, interfere in China’s internal affairs, and undermine China’s sovereignty and territorial integrity,” China’s Foreign Ministry said in a statement. It insists that the mainland and the island to which Chiang Kai-shek’s Nationalist forces fled amid civil war in 1949 remain part of a single Chinese nation.
Sanctions were leveled under Beijing’s recently enacted Law of the People’s Republic of China on Countering Foreign Sanctions.
General Dynamics fully owned entities are registered in Hong Kong, the southern Chinese semi-autonomous city over which Beijing has steadily been increasing its political and economic control to the point that it faces no vocal opposition and has seen its critics silenced, imprisoned or forced into exile.
Despite their lack of formal diplomatic ties — a concession Washington made to Beijing when they established relations in 1979 — the U.S. remains Taiwan’s most important source of diplomatic support and supplier of military hardware from fighter jets to air defense systems.
Taiwan has also been investing heavily in its own defense industry, producing sophisticated missiles and submarines.
China had 14 warplanes and six navy ships operating around Taiwan on Wednesday and Thursday, with six of the aircraft crossing into Taiwan’s air defense identification zone — a tactic to test Taiwan’s defenses, wear down its capabilities and intimidate the population.
So far, that has had little effect, with the vast majority of the island’s 23 million people opposing political unification with China.