China adds US companies to ‘untrustworthy entity list’ for arms sales to Taiwan

This Monday, the 20th, the Chinese Ministry of Commerce announced the inclusion of the American companies General Atomics Aeronautical Systems, General Dynamics Land Systems and Boeing Defense, Space & Security on its list of “unreliable entities” due to their involvement in the sale of arms to Taiwan.

According to the released statement, the mentioned companies are subject to prohibitions on carrying out import and export activities related to China.

Furthermore, its subsidiaries are also prohibited from making new investments in the country. High-ranking executives from affected companies will not be able to enter Chinese territory, and their work, stay and/or residence visas will be cancelled.

The companies will be fined an amount equivalent to twice the amount of the arms sales contract import to Taiwan. If payment is not made within 15 days of the announcement, organizations will be subject to additional fines.

In February, the US State Department approved the sale of defense communications equipment to Taiwan, estimated at US$75 million (R$370.5 million), according to the Pentagon’s Defense Security Cooperation Agency (DSCA). .

The Taiwan issue continues to be the main point of tension in relations between China and the United States. Since 1949, Taiwan has been governed independently from mainland China.

For Beijing, the island is one of its provinces, while Taiwan claims to be an autonomous country, although it has not officially declared independence.

In 1992, a meeting between Beijing and Taipei delegations resulted in an agreement on the one-China principle. Beijing opposes any official contact by foreign states with Taipei and considers Chinese sovereignty over the island to be indisputable.

With information from Sputnik