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China Sanctions 7 US Cos Over Support to Taiwan Military
  • The Economic Times
  • |
  • International Relations
  • |
  • 2024-12-28
  • US-China rivalry
  • China-Taiwan conflict

China imposed sanctions on seven US companies after the US approved a $571.3 million military aid package to Taiwan, which China claims infringes on its sovereignty. The sanctions target US defense firms, prohibiting their operations in China.

China's Sanctions on US Companies

China has imposed sanctions on seven US companies following Washington's approval of a $571.3 million military aid package to Taiwan. This decision was made in response to what Beijing perceives as an infringement on its "sovereignty and territory".

Background

  • US President Joe Biden authorized the drawdown of up to $571.3 million for defense assistance to Taiwan.
  • China regards Taiwan as its own territory and sees US actions as interference in its internal affairs.

Sanctioned Companies

  • The targeted companies include: 
    1. Insitu
    2. Hudson Technologies
    3. Saronic Technologies
    4. Aerkomm
    5. Oceaneering International
    6. Raytheon's Canada and Australia subsidiaries
  • Sanctions include freezing of China assets and prohibition of business with Chinese entities.

US-Taiwan Relations

  • The US does not officially recognize Taiwan diplomatically but is its largest supplier of weapons.
  • China has increased military pressure on Taiwan, conducting major drills since May.

China's Response

  • Chinese foreign ministry criticized the US for undermining China's sovereignty.
  • Spokeswoman Mao Ning warned that US support for Taiwan would have repercussions.
  • China vows to take necessary measures to defend its interests.
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