China bans Lockheed Martin, Raytheon for supplying arms to Taiwan

Lockheed Martin is a major name in defence products, especially the fighter jets like F-22 Raptor fighter which was used to shoot down the Chinese spy balloon earlier this month.

The situation is escalating faster than expected in US-China affairs. Earlier the US burst Chinese balloons spying on the American installations, now China has taken a counter action. China has banned top defence companies Lockheed Martin Corporation and Raytheon accusing them of supplying arms to Taiwan. China has traditionally been claiming Taiwan as part of its own territory.

The action is on the expected lines as the Chinese government had warned earlier that in response to the US action on its spy balloon, it would act against the American interests. Lockheed Martin is a major name in defence products, especially the fighter jets like F-22 Raptor fighter which was used to shoot down the Chinese spy balloon earlier this month.

Ironically enough, China does not admit that the action on the top defence companies is a response over the balloon shooting down. In a statement to the public, the Chinese Ministry of Commerce reiterated that these decisions are part of normal law enforcement action for arms sales by the two entities to Taiwan.

Can China extract fines from Lockheed Martin & Raytheon?

The statement read that by supplying arms to Taiwan, the two companies seriously undermined China's national security and territorial integrity. Not just the Lockheed Martin and Raytheon missiles have been banned, these two companies have also been imposed heavy fines that is twice the amount of their arms sales to Taiwan. However, the Chinese authorities have not disclosed how they are going to extract the fines from the two firms.

Moreover, since the defence companies when supplying weapons, arms or fighter jets for that matter to any country, they are following the US laws. Reacting to the action of the Chinese government on the two defence companies, Taipei has reacted sharply and critically. The country expressed regret over the entire development and slammed Xi Jinping's authoritarian regime.

A Taiwanese spokesperson defended the two American companies and their supply of arms as it has helped the country defend against authoritarian China and defend democracy. It appears that the Chinese government does not want a strong and stable Taiwan as it could come on its planned way to invade and occupy it sooner or later.

China is already in a 'chip war'. Now it is facing a huge task ahead as the US government has started discouraging American defence companies export cutting-edge technology to China.