China announces sanctions against Boeing, two other US defence companies for Taiwan arms sales
File photo of a Boeing aircraft.
China on Monday (May 20) announced sanctions against Boeing and two other US defence companies for arms sales to Taiwan. The move comes on the day of Taiwan’s presidential inauguration. So far, it is unclear how the sanctions will impact Beijing's businesses.
Chinese Ministry of Commerce placed Boeing's Defense, Space & Security unit, General Atomics Aeronautical Systems, and General Dynamics Land Systems on an "unreliable entities" list. The ministry forbade their further investment in China, in addition to travel bans on senior management for the companies.
In recent years, Beijing has taken action against several defence companies for weapons sales to Taiwan. The recent announcement is in addition to the same.
China froze assets of General Atomics Aeronautical Systems and General Dynamics Land Systems held within China in April.
Self-ruled Taiwan considers itself a distinct nation from China, but Beijing claims Taipei as its own territory since the Chinese civil war of the 1940s.
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China believes that the island nation will defy China's one-nation policy by pushing for formal independence. Beijing even claimed that, if needed, it would use force to unite the two territories.
Meanwhile, Lai Ching-te, who is Taiwan’s new president, vowed to strengthen Taiwan’s security through imports of advanced fighters and other technology and strengthening its domestic defence industry.
Watch:China warns-Lai will bring 'war and decline' to Taiwan
China's message to Taiwan
On Monday, Beijing said that changes in Taiwan's politics do not alter the "fact" it is part of China after the island swore in the new president.
"No matter how the internal political situation in Taiwan changes, it will not change the historical and legal fact that both sides of the strait belong to one China," foreign ministry spokesman Wang Wenbin said.
(With inputs from agencies)