China's sanctions on 2 US companies

China imposes sanctions on Lockheed and Martin and Raytheon Technologies Corp over sale of arms to Taiwan

China, in the words of the foreign ministry spokesman Wang Wenbin, has imposed sanctions on Lockheed Martin Corp, the maker of F-35 fighter jets, and Raytheon Technologies Corp, the world’s largest producer of guided missiles. "In accordance with the relevant stipulations in China's anti-foreign sanctions law, the Chinese government has decided to take countermeasures on the infringing acts of Raytheon Technologies and Lockheed Martin” and "Both are military enterprises that have long participated in U.S. arm sales to China's Taiwan region." Is what Wang stated on behalf of Chinese government.

No further details were given on the nature of the sanctions, but a commentary published by Chengdu Radio & Television, a state-owned media outlet, said China could freeze the two companies’ mainland assets and forbid them from buying Chinese rare earths. It is worth noting that, on two previous occasions, China has announced sanctions against Lockheed and Raytheon, in 2019 and 2020, though Beijing has not explained what those sanctions entailed or how they were enforced. Furthermore, the United States is bound by the 1979 Taiwan Relations Act to provide Taiwan with the means to defend itself.

Source: Chinese Government