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Indonesia News Portal for Traders | Financial & Business Updates

27 December 2025 10:26  |

China Furious! US Defense Companies Sanctioned Over Arms Sales to Taiwan

China has once again demonstrated its tough stance against the United States. On Friday, the Chinese Ministry of Foreign Affairs announced sanctions against several companies and individuals in the US defense sector. This measure was taken in response to American arms sales to Taiwan.

A total of 20 US defense companies and 10 individuals were included in the sanctions list. Some of the major names affected include Northrop Grumman, L3Harris, Anduril Industries, and Boeing's St. Louis branch, which focuses on defense projects. China has also banned the executives involved from entering its territory.

The sanctions include a freeze on assets in China and a ban on Chinese companies and individuals from doing business with the sanctioned parties. While this may sound harsh, many consider this measure to be more symbolic, as most US defense companies do not have significant business ties with China.

China's move comes after the United States announced arms sales to Taiwan worth approximately $11.1 billion. This package is said to be the largest ever US arms sale to Taiwan and immediately sparked anger in Beijing.

China has emphasized that the Taiwan issue is its core interest and is considered a "red line" in relations with the United States. The Chinese government has warned that any actions deemed to violate this line will be met with a strong response.

On the other hand, the United States has strongly objected to the sanctions. The US government has emphasized that its decades-long policy of arms sales to Taiwan is aimed at maintaining peace and stability in the Taiwan Strait.

The US has also urged China to cease military and economic pressure on Taiwan and to encourage more open dialogue between Beijing and Taipei. Taiwan itself rejects China's claims and asserts its status as a democratically governed territory.

Interestingly, amid these tensions, Boeing is still reportedly exploring major opportunities in China. The company is said to be planning to sell up to 500 civilian aircraft to Chinese airlines, a potentially major deal amidst the still-feverish US-China relationship.

This tension demonstrates the sensitivity of the Taiwan issue on the global political stage, and how a single decision can trigger a chain reaction between two major world powers. (az)

Source: Newsmaker.id

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