China’s government and Chinese companies will cut business ties with U.S. firms selling arms to Taiwan, China’s Foreign Ministry said on Monday, declining to give details of the sanctions in a move likely to worsen already poor ties with Washington.

China claims self-ruled
and democratic Taiwan as its own and has never renounced the use of force to
bring it under Beijing’s control. China regularly calls Taiwan the most
sensitive issue in its relations with the United States.
Last week, the Pentagon said the U.S. State Department had
approved the sale of the weapons requested by Taiwan, including 108 General
Dynamics Corp (GD.N)
M1A2T Abrams tanks and 250 Stinger missiles, which are
manufactured by Raytheon (RTN.N).
China said on
Friday it would sanction U.S. companies selling weapons to Taiwan but did not
elaborate.
The latest deal involves
$2.2 billion worth of tanks, missiles and related equipment for Taiwan.
Chinese Foreign
Ministry spokesman Geng Shuang said the arms sales were a violation of
international law and harmed China’s sovereignty and national security.
“China’s government
and Chinese companies will not cooperate or have commercial contacts with these
U.S. companies,” he told a daily news briefing.
“I can’t reveal
the details at the moment. But believe this - Chinese people always stress
standing by their word.”
On Sunday, the
ruling Communist Party’s official People’s Daily posted an article on its
WeChat account identifying U.S. companies that could be vulnerable to
sanctions.
They included Honeywell International Inc (HON.N), which makes the engines for the Abrams tanks, and private
jets maker Gulfstream Aerospace, which is owned by General Dynamics. China is
an important market for both Honeywell and Gulfstream.
The companies
did not respond to requests for comment.
Ties between
China and the United States are already strained over a trade war, which has
seen them levy tariffs on each other’s imports.
This is not the
first time China has said it would sanction U.S. companies selling weapons to
Taiwan. China has announced such steps at least twice before - in 2010 and 2015
- but it is unclear if the sanctions were ever imposed.
U.S. defense
contractors have been barred from dealings with Beijing since China’s bloody
crackdown on pro-democracy demonstrators on and around Tiananmen Square in
1989.
While its relations with
Taiwan are technically unofficial, the United States is required by law to
assist Taiwan in its defense and is its main supplier of arms, though France
has also previously sold warships and fighter jets to Taiwan.
China has been
angered as well by the United States allowing Taiwan President Tsai Ing-wen to
visit last week, on her way to diplomatic allies in the Caribbean. She is due
to transit the United States again at the end of her trip next week.
- Reuters
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