China has imposed sanctions on 20 U.S. defense firms and 10 individuals, including Boeing’s St. Louis unit and Northrop Grumman, following Washington’s record $11.1 billion arms sale to Taiwan. Beijing’s foreign ministry announced the measures on Friday, freezing assets and prohibiting business with the named entities. The move marks a significant escalation in ongoing tensions regarding the island’s sovereignty.
The Chinese government emphasized that its actions respond to “provocative actions” that threaten its core interests. A spokesperson stated, “The Taiwan issue is the core of China’s core interests and the first red line that cannot be crossed in China-U.S. relations.” While the sanctions are largely symbolic due to limited defense ties, they target high-ranking industry executives.
The U.S. State Department maintains its policy is consistent with previous administrations to ensure peace. A spokesperson said, “We strongly object to Beijing’s efforts to retaliate against U.S. companies for their support of U.S. arms sales that support Taiwan’s self-defense capabilities.” Meanwhile, Boeing continues separate negotiations to sell 500 civilian aircraft to Chinese airlines despite the friction.