How China is retaliating against the U.S. after massive arms sales to Taiwan

"The sanctions entail freezing the companies' assets in China and banning individuals and organizations from dealing with them, according to the Chinese foreign ministry.The companies include Northrop Grumman Systems Corporation, L3Harris Maritime Services and Boeing in St. Louis, while defense firm Anduril Industries founder Palmer Luckey is one of the executives sanctioned, who can no longer do business in China and are barred from entering the country. Their assets in the East Asian country have also been frozen."

"Taiwan is a major flashpoint in U.S.-China relations that analysts worry could explode into military conflict between the two powers. China says that the U.S. arms sales to Taiwan would violate diplomatic agreements between China and the U.S.China's military has increased its presence in Taiwan's skies and waters in the past few years, holding joint drills with its warships and fighter jets on a near-daily basis near the island."

China imposed sanctions on 20 U.S. defense-related companies and 10 executives, freezing their assets in China and banning Chinese entities from dealing with them. Targeted firms include Northrop Grumman Systems Corporation, L3Harris Maritime Services and Boeing in St. Louis; sanctioned individuals include Anduril founder Palmer Luckey, barred from doing business in or entering China. The measures followed a U.S. announcement of an arms-sale package to Taiwan valued at more than $10 billion that, if approved by Congress, would be the largest-ever U.S. weapons package to the self-ruled territory. China reiterated that Taiwan is a core interest and warned against arming the island.

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