China imposed sanctions on over a dozen U.S. defense firms and several American defense industry executives on Thursday in response to the Biden administration's recent arms sales to Taiwan, which Beijing claims as its territory.
The Chinese Foreign Ministry stated that the U.S. approval of a $387 million defense package for Taiwan, which included spare parts for fighter jets, had "seriously damaged China's sovereignty and territorial integrity."
Thirteen American firms were named in the sanctions, including drone manufacturers RapidFlight and BRINC Drones. Six executives were also sanctioned, among them Barbara Borgonovi, president of Naval Power at Raytheon, and Blake Resnick, founder and CEO of BRINC Drones.
Beijing invoked its recently established Anti-Foreign Sanctions Law when announcing the sanctions, which are part of a growing array of countermeasures that parallel punitive actions taken by the United States against China.
This marks the second instance of sanctions imposed by China on U.S. defense firms in response to arms sales to Taiwan, the first occurring in September.
The sanctions prohibit the companies from conducting business in China and restrict the executives from traveling there. However, these measures are largely seen as symbolic since U.S. defense contractors are already mostly barred from operating in China due to U.S. restrictions.
Ja Ian Chong, an associate professor of political science at the National University of Singapore, noted that the People's Republic of China under Xi Jinping has increasingly utilized economic measures to exert pressure on external parties. He added that the sanctions may serve as a warning to defense firms from other countries against selling equipment and services to Taiwan.
China considers Taiwan to be a "core interest," with President Xi asserting that reunification is "inevitable" and that Beijing would resort to force if necessary.
The issue of arms sales has been a contentious point in the interpretation of Taiwan's status by Washington and Beijing. The United States follows the Taiwan Relations Act of 1979, which mandates the provision of defensive weapons to Taiwan to ensure its stability. In 1982, a communiqué between Washington and Beijing stated that arms sales would decrease as Taiwan's status approached a peaceful resolution.
China contends that the U.S. has breached this agreement, while the U.S. argues that China's increasing military pressure, including frequent flybys and war games around Taiwan, necessitates that the island be adequately armed.
The approach of the incoming Trump administration regarding this issue remains uncertain. President-elect Donald J. Trump has expressed mixed signals about his support for Taiwan, advocating for increased defense spending by the island and raising concerns about its dominance in the global semiconductor industry. Nonetheless, he has also proposed cabinet members who are supportive of Taiwan, including Senator Marco Rubio of Florida as a potential secretary of state.