US defense companies sanctioned by China

BEIJING — China announced rare sanctions Thursday against two U.S. defense companies over what it called their support for arms sales to Taiwan, the self-governing island democracy Beijing claims as its own territory to be recovered by force if necessary.

The announcement freezes the assets held within China of General Atomics Aeronautical Systems and General Dynamics Land Systems. It also bars the companies’ management from entering the country.

Filings show General Dynamics operates a half-dozen Gulfstream and jet aviation services operations in China, which remains heavily reliant on foreign aerospace technology even as it attempts to build its own presence in the field.

The company also helps make the Abrams tank being purchased by Taiwan to replace outdated armor intended to deter or resist an invasion from China.

General Atomics produces the Predator and Reaper drones used by the U.S. military. Chinese authorities did not go into details on the company’s alleged involvement with supplying arms to Taiwan.

Sanctions were leveled under Beijing’s recently enacted Law of the People’s Republic of China on Countering Foreign Sanctions, aimed at retaliating against U.S. financial and travel restrictions on Chinese officials accused of human rights abuses in mainland China and Hong Kong.

General Dynamics’ fully owned entities are registered in Hong Kong, the semi-autonomous city in southern China over which Beijing has steadily been increasing its political and economic control to the point that it faces no vocal opposition and has seen its critics silenced, imprisoned or forced into exile.