Beijing, China – China has imposed sanctions on 20 United States defense companies and 10 senior executives in retaliation for Washington’s recent $11.1 billion arms package for Taiwan, marking a significant escalation in US-China tensions over the self-governed island.

The Chinese Ministry of Foreign Affairs announced the sanctions on Friday, describing them as a response to what Beijing called “dangerous” US efforts to arm Taiwan. The ministry warned that any further provocative actions on the Taiwan issue “will be met with a strong response from China.”

Companies and Individuals Targeted

The sanctions target major US defense contractors, including:

• Boeing’s St. Louis branch
• Northrop Grumman Systems Corporation
• L3Harris Maritime Services
• Lazarus AI

In addition, 10 senior executives from the sanctioned companies, including the founder of Anduril Industries, are affected. The measures freeze their assets in China, prohibit local organizations from conducting business with them, and bar sanctioned individuals from entering the country.

These sanctions come amid reports that Boeing has been discussing the potential sale of up to 500 commercial jets to Chinese airlines, a deal that could help the US re-enter the world’s second-largest aviation market following years of trade tensions.

US Response

The US State Department strongly objected to Beijing’s sanctions, calling them “retaliatory measures against US companies for supporting Taiwan’s self-defense capabilities.” A spokesperson emphasized that China should pursue dialogue with Taiwan rather than using military, diplomatic, and economic pressure.

Under US law, the United States is obligated to provide Taiwan with the means to defend itself, a responsibility that has fueled ongoing friction with Beijing.

Details of the US-Taiwan Weapons Deal

The most recent US arms package for Taiwan, announced on December 17 by President Donald Trump, includes:

• 82 High Mobility Artillery Rocket Systems (HIMARS)
• 420 Army Tactical Missile Systems (ATACMS) – valued at over $4 billion
• 60 self-propelled howitzer artillery systems and associated equipment – valued at over $4 billion
• Drones worth more than $1 billion

These defense systems are comparable to those the US has supplied to Ukraine to defend against aerial attacks, underscoring Washington’s commitment to Taiwan’s security.

Taiwan’s Ministry of National Defence welcomed the deal, praising the US for helping the island “maintain sufficient self-defense capabilities and rapidly build strong deterrent power.”

Rising US-China Tensions

The sanctions highlight the growing strain in US-China relations over Taiwan, which Beijing claims as its own territory. US arms sales to Taiwan have historically been a flashpoint, with each new deal prompting warnings and retaliatory measures from China.

Analysts warn that such sanctions could have broader implications for US companies seeking access to Chinese markets, particularly in the defense and aerospace sectors. With tensions continuing to mount, the situation underscores the delicate balance of military support for Taiwan and the strategic risks faced by US firms operating in or trading with China.