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China sanctions 20 US firms, executives over massive arms sales to Taiwan

A cruise missile, Barracuda 500, jointly manufactured by the US and Taiwan, is displayed during the Taipei Aerospace & Defense Technology Exhibition (TADTE) at Nangang Exhibition Center in Taipei, Taiwan, Sept. 20, 2025. (Photo by AP)

Beijing has imposed sanctions on 20 US defense-related companies and 10 executives, following Washington's announcement of large-scale arms sales to Taiwan.

In a statement released on Friday, the Chinese foreign ministry stated that these sanctions were in response to the companies' involvement in supplying arms to the island, pledging to take “resolute and forceful measures to steadfastly defend national sovereignty, security, and territorial integrity.”

The sanctioned companies include Northrop Grumman Systems Corporation, L3Harris Maritime Services, and Boeing, while Anduril Industries founder Palmer Luckey is among the sanctioned executives. 

As a result of the sanctions, these companies are prohibited from conducting business in China, and the executives are barred from entering the country. Additionally, their assets in China have been frozen. 

The US arms sale package, valued at approximately $11 billion, has sparked a strong backlash from China, which asserts that these sales contravene diplomatic agreements between the two countries. 

The Chinese foreign ministry emphasized, “The Taiwan question is at the very core of China’s interests and a critical red line in China-US relations,” warning that any individual or company engaging in arms sales to Taiwan will face consequences.

Analysts note that Taiwan represents a significant flashpoint in US-China relations, potentially escalating into military conflict.

Beijing maintains sovereignty over Taiwan, and under the “One China” policy, most countries recognize this sovereignty, refraining from establishing diplomatic ties with Taiwan’s government.

While the US claims to uphold this principle, it has supported Taiwan’s anti-China stance and provided military assistance, which contradicts its stated policy. 

During a November phone call, Chinese President Xi Jinping reiterated to US counterpart Donald Trump that Taiwan's “return to China” is integral to the postwar international order.

Beijing has frequently emphasized that the issue of Taiwan is a red line for both the Chinese government and people.

Relations between Beijing and Washington are already strained over trade, technology, and human rights issues.

These developments come as Taiwan has recently strengthened military ties with Israel, a close US ally.

Taiwan's deputy foreign minister made an unpublicized visit to Israeli-occupied territories, seeking increased military cooperation, which has reportedly received approval from Washington.


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