Beijing, Dec 27: China has imposed sanctions on 20 US defence related companies and 10 senior executives over arms sales to Taiwan, escalating tensions between Washington and Beijing. The move comes after the US announced a $10 billion weapons package to Taiwan, including medium range missiles, howitzers, and drones, which would be the largest ever US arms deal to the island if approved by Congress.
The Chinese Foreign Ministry said the countermeasures include freezing movable and immovable assets of the targeted companies and executives within China, banning Chinese organizations and individuals from engaging in transactions or cooperation with them, and denying visas or entry to China, including Hong Kong and Macao. China cited the One-China principle and the three China–US Joint Communiqués as the basis for the sanctions, stating that US arms sales interfere in China’s internal affairs and undermine its sovereignty.
Among the 20 companies sanctioned are Northrop Grumman Systems Corporation, L3Harris Maritime Services, Boeing, Gibbs & Cox Inc., and Teal Drones Inc. The 10 executives on the list include Palmer Luckey, founder of Anduril Industries, and John Cantillon, Vice President of L3Harris Technologies, along with leaders from Advanced Acoustic Concepts, VSE Corporation, and Dedrone Holdings, among others.
The sanctions, effective from December 26, 2025, are imposed under China’s Anti-Foreign Sanctions Law, and Chinese authorities warned that anyone involved in arms sales to Taiwan will face consequences.