BEIJING - China announced fresh sanctions on five United States defence industry companies, in response to the latest arms sales deals to Taiwan.

The companies affected are BAE Systems Land and Armament, Alliant Techsystems Operations, AeroVironment, Viasat and Data Link Solutions, the Foreign Ministry said in a statement on Jan 7.

The measures consist of freezing the properties of these companies in China, and prohibiting organisations and individuals in China from transactions and cooperation with them, it said.

The sanctions are a result of “gravely wrong actions” taken by the US and in accordance with China’s Anti-Foreign Sanctions Law, the ministry said.

The measures were also due to “illegal unilateral sanctions” on Chinese companies and individuals, it added.

US arms sales to Taiwan are a frequent source of tension between Washington and Beijing.

China regards the self-governing Taiwan as its territory to be reunified. Taiwan rejects China’s sovereignty claims.

The sanctions come ahead of Taiwan’s Jan 13 presidential and parliamentary elections.

China has cast the elections as a choice between war and peace.

The US State Department in December approved a US$300 million (S$400 million) sale of equipment to help maintain Taiwan’s tactical information systems.

Since then, the Chinese People’s Liberation Army has intensified military training and readiness around the Taiwan Strait.

It is unclear what impact the sanctions would have on the US firms, if any.

American defence manufacturers and military service providers generally do not conduct any business activities in China, and such sanctions are often seen as mostly symbolic.

The US Embassy in Beijing did not immediately respond to a request for comment.

This is not the first time that China has sanctioned US companies for weapon sales to Taiwan.

In early 2023, China put Lockheed Martin and Raytheon Missiles and Defence on its unreliable entities list, and banned them from engaging in China-related import or export activities and making new investments in the country.

BLOOMBERG, REUTERS