China escalated its diplomatic and economic response to American military support for Taiwan on Friday, imposing sweeping sanctions on 20 U.S. defense-related companies and 10 senior executives. The move follows Washington’s announcement of a massive $11.1 billion arms package for the island, the largest single sale in the history of U.S.-Taiwan relations.
The Chinese Foreign Ministry stated that the sanctions, effective immediately, involve freezing all assets held by these companies and individuals within China. Furthermore, Chinese organizations and citizens are strictly prohibited from conducting any business or transactions with the targeted entities. The list of sanctioned firms includes major industry players such as Northrop Grumman Systems Corporation, L3Harris Maritime Services, and the St. Louis branch of Boeing. High-profile executives, including Palmer Luckey, the founder of the defense technology firm Anduril Industries, have also been barred from entering China.
The $11.1 billion package that triggered the retaliation includes high-mobility artillery rocket systems (HIMARS), ATACMS long-range missiles, M109A7 howitzers, and advanced loitering drone munitions. Beijing’s foreign ministry characterized the deal as a “serious provocation” that violates the one-China principle and undermines China’s territorial integrity.
A spokesperson for the ministry warned that the Taiwan issue remains the “first red line” in U.S.-China relations that must not be crossed. While Washington maintains that the arms are essential for Taiwan’s self-defense and regional stability, Beijing has signaled that it will continue to take “resolute measures” to counter what it views as foreign interference in its internal affairs.
