China Sanctions 20 US Defense Firms Over Taiwan Arms Sale

Beijing imposed sanctions on Friday against 20 U.S. defense companies and 10 executives, retaliating for Washington's announcement last week of an $11.1 billion arms package to Taiwan, the largest such sale in history.

The Chinese Foreign Ministry described the measures as a direct response to the U.S. actions, which it said violate the One China principle and threaten Beijing's sovereignty over the self-governing island. The sanctions freeze any assets held by the targeted companies and individuals in China, prohibit Chinese organizations and individuals from conducting business with them, and bar the executives from entering the country. Among the companies affected are Boeing's St. Louis branch, Northrop Grumman Systems Corporation, L3Harris Maritime Services, and Lazarus AI. The individuals include Palmer Luckey, founder of Anduril Industries, along with nine senior executives from the sanctioned firms. The restrictions take effect on December 26.

The U.S. arms deal, notified to Congress on December 17, includes 82 High Mobility Artillery Rocket Systems (HIMARS), 420 Army Tactical Missile Systems (ATACMS) valued at more than $4 billion, 60 self-propelled howitzer artillery...