China sanctions US military-industrial complex

Beijing has targeted drone manufacturers over sales to Taiwan

Six American military industry enterprises have been blacklisted in China for participating in weapons sales to Taiwan, the foreign ministry in Beijing announced on Friday.

“The US recently announced that it would sell weapons to the Taiwan region of China again,” the ministry said in a statement, adding that this “seriously violates the one-China principle,” interferes in the country’s internal affairs and harms China’s sovereignty and territorial integrity.

In response, China will freeze all forms of property of Anduril, AEVEX Aerospace, LKD Aerospace, Maritime Tactical Systems, Pacific Rim Defense, and Pinnacle Technology may have in the country. Five executives of Anduril and AEVEX have also been sanctioned personally.

The sanctions mean that no Chinese national or resident can do any business with the said companies and their employees will be denied visas to enter China, including Hong Kong and Macao.

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China sanctions US defense giant over Taiwan supplies

The six sanctioned companies mainly make drones – both flying and maritime – and control systems for them. Last month, Washington announced a deal to sell $360 million worth of drones and technology to Taipei. 

Beijing has already sanctioned Lockheed Martin, one of the largest Pentagon contractors, over its role in the drone deal. 

Chinese nationalist forces fled to Taiwan in 1949, after the Communists emerged victorious in the civil war. Washington recognized the island’s government as the ‘Republic of China’ for the next three decades, until recognizing the People’s Republic of China in 1979.

Even as it recognized the ‘one China’ principle, the US has continued to supply Taipei with weapons, ammunition and equipment to “deter” an “invasion” from the mainland. The US also maintains informal diplomatic and economic ties with the island, which is a major source of semiconductors and chips for Western markets.

Beijing’s official policy is peaceful reintegration of Taiwan, though China has not ruled out using force in case the island declares independence.