China sanctions 20 U.S. Defense Firms

China’s Foreign Ministry has announced sanctions on 20 U.S. defense firms and 10 individuals on Friday.

The step is seen as a Chinese response to a U.S. announcement to sell arms to Taiwan worth $11.1 billion.

The U.S. last week had made an announcement to sell weapons to Taiwan.

While China sees Taiwan as an integral part of its own territory, Taiwan maintains that it is an independent republic.

Some companies that have come under the Chinese sanction include Boeing’s St. Louis, Northrop Grumman Systems Corporation and L3Harris Maritime Services among others.

Sanctions upon these firms means possible freeze of assets of these firms held in China. Apart from firms, 10 individuals who have been sanctioned also face a similar asset freeze as well as entry ban into China.