BEIJING has announced sanctions on five American defence-related companies in response to United States arms sales to Taiwan and US sanctions on Chinese companies and individuals.
The sanctions will freeze any property the companies have in China and prohibit organisations and individuals in China from doing business with them, the Foreign Ministry said in a statement posted online yesterday.
It’s unclear what impact the sanctions would have on the companies – BAE Systems Land and Armaments, Alliant Techsystems Operations, AeroVironment, ViaSat, and Data Link Solutions.
Such sanctions are often mostly symbolic, as American defence contractors generally don’t sell to China.
The Foreign Ministry said the US moves harmed China’s sovereignty and security interests, undermined peace and stability across the Taiwan Strait, and violated the rights and interests of Chinese companies and individuals.
“The Chinese government remains unwavering in our resolve to safeguard national sovereignty, security and territorial integrity and protect the lawful rights and interests of Chinese companies and citizens,” the ministry said.
The US recently approved US$300mil (RM1.39bil) in equipment, training and equipment repair for Taiwan to maintain its command, control and military communications capabilities.
At the time, Foreign Ministry spokesperson Wang Wenbin warned that China would take countermeasures against companies involved in arms sales to Taiwan.
The US Defence Department said the sale would support the modernisation of Taiwan’s armed forces and the maintenance of a credible defence.
Taiwan is a major flashpoint in US-China relations that analysts worry could explode into military conflict between the two powers.
China regards Taiwan, a self-governing island off its east coast, as a renegade province that must come under Beijing’s control at some point in the future.
It views US arms sales to Taiwan as interference in its domestic affairs. — AP