Credits: Dawn

China penalises Lockheed Martin and Raytheon for selling weapons to Taiwan

In the latest recent sanctions against the two United States organisations, China on Thursday placed Lockheed Martin Corporation and Raytheon Telecommunications Company in an “undependable companies listing” owing to contemporary weapons deals to Taiwan as prohibited companies from importing and exporting to China. The measures follow shortly after Beijing threatened to launch “preventive actions against appropriate U.S. entities that endanger China’s independence or data protection” in response to the U.S. armed services gunning down just what alleges it was a Chinese observation airship.

In accordance with a declaration from China’s ministry of commerce and industry, it is prohibited for Lockheed Martin and Raytheon Rocket and Security Company, a component of Raytheon Telecommunications, to “operate in activities involving import and export connected to China.” Neither company provides Beijing with military equipment. Lockheed was unable to be reached for clarification straight away. Raytheon decided not to respond. Beijing further prohibited the businesses from investing in China, prevented senior management from visiting, withdrew working visas including all workers, and imposed penalties exceeding twice the agreement amounts for their weapons shipments to Taiwan.

China claimed that such penalties should be collected within fifteen days, although it is still determined how the country will execute this obligation. China reprimanded the two businesses in February of the previous year for more than a $100 million weapons deal with Taiwan, a self-governing island that Beijing deems to be a breakaway provincial capital.

China had already announced restrictions on Lockheed or Raytheon at least once or twice previously, in 2019 and 2020. However, Beijing needs to define all the sanctions included and how they were implemented. China has not been the beneficiary of any weapons transfers by the United States. However, the 1979 Taiwan Affairs Legislation requires the US to provide Taiwan with the capability to defend itself, and US missile deliveries invariably irritate China.

Lockheed Martin

Over 116,000 people work for Lockheed Martin, a major defence and aeronautical industry concentrating on the conception, production, installation, and maintenance of high-technology technologies and products, including operations.

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SOURCE: CNN Business


Aviator motors, communications, aerospace systems, cyberattacks, missile launchers, missile defence systems, observatories, as well as robotics have all been manufactured by Raytheon Technology. The company primarily operates as a significant weapons manufacturer and derives a considerable portion of its profits from the American government. If you’re part of a well-run organisation, Raytheon provides excellent compensation and a solid work-life combination.

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SOURCE: Bloomberg