Source: Fortune
Summary
China has imposed sanctions on 10 US defense-related companies, including Lockheed Martin, Raytheon, and General Dynamics, in response to a recent US move that bars some leading Chinese tech companies from defense contracts. The sanctions include a ban on exporting “dual-use” items to these companies, which can have both military and non-military applications. The move is seen as a proportionate response to the US restrictions, which added several Chinese tech companies to its list of firms with links to the Chinese military.
Our Reading
The numbers tell one story.
China’s sanctions on 10 US defense-related companies, including Lockheed Martin, Raytheon, and General Dynamics, are a symbolic move in response to the US restrictions. The ban on exporting “dual-use” items is a warning shot, but the impact will be limited. The US companies are not likely to do business in China anyway. The move is a tit-for-tat response to the US adding Chinese tech companies to its list of firms with links to the Chinese military. The game of sanctions continues.
China’s response is a familiar phase in the ongoing trade tensions between the two countries.
Author: Evan Null
