BEIJING, Feb 16 (Reuters) – China on Thursday put Lockheed Martin and a unit of Raytheon Applied sciences on an “unreliable entities checklist” over arms gross sales to Taiwan, banning them from imports and exports associated to China in its newest sanctions in opposition to the U.S. firms.
The measures come amid heightened tensions after the U.S. navy shot down what it says was a Chinese language spy balloon, and a day after Beijing warned of “countermeasures in opposition to related U.S. entities that undermine China's sovereignty and safety”.
Lockheed Martin Corp (LMT.N) and Raytheon Missile and Protection Corp, a subsidiary of Raytheon Applied sciences Corp (RTX.N), are prohibited from “partaking in import and export actions associated to China,” China's commerce ministry mentioned in an announcement.
“These are symbolic measures and pointless – that is how we view them,” White Home press secretary Karine Jean-Pierre advised reporters on Thursday.
Neither firm sells protection merchandise to China. Raytheon declined to remark. Raytheon Applied sciences sells its Pratt & Whitney plane engines, in addition to touchdown gear and controls, to China's business aviation business.
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Lockheed, which exports to greater than 70 international locations, mentioned in an announcement, “Overseas Army Gross sales are government-to-government transactions and we work carefully with the U.S. authorities on any navy gross sales to worldwide clients. Lockheed Martin carefully adheres to United States authorities coverage with regard to conducting enterprise with overseas governments.”
[1/2] The emblem of Lockheed Martin is seen at Euronaval, the world naval defence exhibition in Le Bourget close to Paris, France, October 23, 2018. REUTERS/Benoit Tessier
Lockheed makes the F-22 Raptor fighter jet, which flew the mission to shoot down an alleged Chinese language spy balloon off the coast of South Carolina, utilizing the AIM-9X Sidewinder missile made by Raytheon.
Beijing additionally banned the businesses from additional funding in China, barred senior administration from getting into the nation, canceled residence permits for any employees in China and imposed fines which are double the contracted quantities of their arms gross sales to Taiwan.
It was not clear how China would implement such fines, which it mentioned have to be paid inside 15 days.
Final February, China sanctioned the 2 firms over a $100 million arms sale to Taiwan, a self-ruled island which Beijing views as a breakaway province.
On no less than two earlier events China has introduced sanctions in opposition to Lockheed and Raytheon, in 2019 and 2020, although Beijing has not defined what these sanctions entailed or how they have been enforced.
The U.S. doesn't promote weapons to China. Nonetheless, the USA is sure by the 1979 Taiwan Relations Act to offer Taiwan with the means to defend itself, and U.S. weapons gross sales all the time appeal to China's anger.
Reporting by Tony Munroe and Laurie Chen
Enhancing by Raissa Kasolowsky and Jonathan Oatis
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