China’s Ministry of Commerce (MOC) announced on Thursday that it has added 10 U.S. companies to its unreliable entities list, citing their involvement in arms sales to the Taiwan region. The move underscores escalating tensions between China and companies supporting military engagements with Taiwan.
Companies Named in the List
The companies identified by the MOC include:
- Lockheed Martin Missiles and Fire Control
- Lockheed Martin Aeronautics
- Lockheed Martin Missile System Integration Lab
These entities are now prohibited from engaging in import or export activities related to China and are barred from making new investments within the country. According to the MOC, senior executives of these companies will also face restrictions, including bans on entering China, revocation of work permits and residency status, and rejection of any related applications.
Reasoning Behind the Sanctions
The MOC stated that these companies have been involved in arms sales to the Taiwan region and have conducted what it termed “so-called cooperation on military technologies” in recent years, despite strong opposition from China. The ministry emphasized that such actions severely undermine China’s sovereignty and territorial integrity, violate the one-China principle and the three China-U.S. joint communiques, and destabilize peace and stability across the Taiwan Strait.
Legal Consequences and Commitment to Open Business Environment
The ministry affirmed that the companies would be held legally accountable for their actions. It also clarified that China’s unreliable entity provisions target only a few foreign entities that undermine China’s national security. Despite the sanctions, the MOC reiterated that the Chinese government remains open to foreign companies investing and expanding their businesses in China. It is committed to providing a stable, fair, and predictable business environment for law-abiding companies operating within its borders.
Background Context
The unreliable entities list is a tool used by China to sanction foreign companies, organizations, or individuals deemed to harm China’s national sovereignty, security, or development interests. Entities on the list may face measures such as restrictions or bans on trade, investment, and entry of personnel into China.
Reference(s):
cgtn.com
