China’s communist regime has imposed sanctions on nine U.S. defense companies over recent arms sales to Taiwan, including freezing their properties in China. The ruling Chinese Communist Party (CCP) described the sanctions, which went into effect on Sept. 18, as “countermeasures,” which include freezing the targeted firms’ properties in China and prohibiting Chinese organizations and individuals from conducting transactions with these companies.
According to the Chinese foreign ministry, the nine U.S. military-linked companies include Sierra Nevada Corporation, Stick Rudder Enterprises LLC, Cubic Corporation, S3 Aerospace, TCOM Ltd. Partnership, TextOre, Planate Management Group, ACT1 Federal, and Exovera.
In recent years, the CCP has stepped up its military preparations to invade Taiwan. The United States has strengthened its military cooperation with Taiwan in response to this increased aggression and threat in the Taiwan Strait.
The U.S. State Department approved a proposed $228 million military sale to Taiwan on Sept. 16 for parts and maintenance services. This marks the 16th arms sale under the Biden administration since 2021.
At a press briefing in Beijing on Sept. 18th., Chinese foreign ministry spokesman Lin Jian urged the United States to “immediately stop arming Taiwan” and warned of strong measures taken by China to defend its national sovereignty.
Analysts believe that Beijing’s latest move may have little impact as American defense firms have minimal business ties with China due to tensions between both countries.
Su Tzu-yun from Taiwan’s Institute for National Defense and Security Research stated that these sanctions are primarily for domestic propaganda purposes rather than having any real effect on US defense companies.
Regarding the possibility of war between China and Taiwan in the short term, experts believe it is unlikely due to various factors such as restraint from both sides and China’s limited ability to invade Taiwan.
Taiwan has been working towards improving its defense capabilities through a realignment of its military force structure since 2022 according to a report by Congressional Research Service.