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China sanctioned two US companies

Lockheed Martin has supplied the Taiwan army with radars, helicopters and air traffic control equipment / Photo: AFP.

China imposed economic sanctions on Thursday to the American companies Lockheed Martin and Raytheon for supplying arms to Taiwan, the self-governing island it considers part of its territory.

Lockheed Martin Corp. and the Raytheon Missiles and Defense unit of parent company Raytheon Technologies Corp. are prohibited from importing goods into China or making new investments in the country, the Chinese Ministry of Commerce said in a statement.

Separated at birth

Taiwan and China separated in 1949 after a civil war. The island of 22 million people has never been part of the People’s Republic of China, but the Chinese Communist Party (CCP) says that is bound to unite with the mainlandby force if necessary.

President Xi Jinping’s government has stepped up its efforts to intimidate Taiwan, sending fighter jets and bombers near the island and firing missiles into the sea.

The note added that they were added to the list of “unreliable entities” whose activities are restricted because they could endanger China’s national sovereignty, security or developmentreported the CNN news network.

It was not clear what impact the sanctions might have.

The United States bans most sales of weapons-related technology to China, but some military contractors also have civilian businesses in aerospace and other markets.

unreliable

China announced plans for the “untrustworthy entities” list in 2019 in response to US restrictions placed on Huawei Technologies Ltd., a Chinese maker of telecommunications equipment.

business is business

Raytheon Missiles and Defense, part of Raytheon Technologies Corp., achieved last year a $412 million contract to upgrade Taiwanese military radar as part of a $1.1 billion US arms sales package to the island.

Boeing Defense won a $355 million contract to supply Harpoon missiles.

The government of President Xi Jinping has intensified its efforts to intimidate Taiwan Photo AFP
The Government of President Xi Jinping has intensified its efforts to intimidate Taiwan / Photo: AFP.

Beijing responded to that sale by announcing sanctions against the CEOs of Raytheon and Boeing Defense, but did not give details of what they were.

Lockheed Martin has supplied the Taiwan military with radar, helicopters and air traffic control equipment. He plays a role in the island’s development of his own fighter aircraft and naval frigates.

In China, Lockheed Martin has sold air traffic control equipment for civil airports and helicopters for commercial use.

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