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Xi Jinping 'angry', China imposes laws on Boeing and two other US companies

Xi Jinping 'angry', China imposes laws on Boeing and two other US companies

 



Jakarta, CNBC Indonesia -China announced sanctions on Monday against Boeing and two other American defense companies. This is linked to arms sales to Taiwan.

The punishment imposed by Beijing took place on the same day as Taiwan's new president, Lai Ching Te, was inaugurated. It should be noted that for the government of Chinese President Xi Jinping, Taiwan is its territory, while for Taipei it is the opposite.

Collect Associated Press (AP), China's Ministry of Commerce has placed Boeing's defense, space and security unit, General Atomics Aeronautical Systems and General Dynamics Land Systems, on its list of “unreliable entities.” The government thus banned any new Chinese investment in the company, in addition to a travel ban for the company's senior executives.

For Boeing, this is the second sanction after 2022. At the time, China announced sanctions against Ted Colbert, president and CEO of Boeing Defense, Space and Security, after the company won a contract worth $355 million for the supply of Harpoon missiles to Taiwan.

For General Atomics and General Dynamics, this is a continuation of the freezing of assets held by China last April. General Atomics produces predator and reaper drones used by the U.S. military, while General Dynamics operates a half-dozen Gulfstream operations and jet services in China.

Taiwan itself often faces “attacks” in the form of Chinese People's Liberation Army fighter jets approaching and surrounding the region. China also regularly operates warships there.

The United States itself adheres to the one-China concept. However, the United States is also Taiwan's main military supporter.

Yesterday, President Lai Ching-te vowed to strengthen Taiwan's security by importing advanced fighter jets and other technology, as well as strengthening its national defense industry. Lai replaced his famously tough-on-China predecessor, Tsai Ing Wen.

[Gambas:Video CNBC]

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