BEIJING -- China's Ministry of Commerce (MOC) said Tuesday that seven US companies have been added to the unreliable entity list for selling arms to China's Taiwan region.
The decision was made by the unreliable entity list work mechanism in accordance with laws and regulations, the ministry said, adding that a series of restrictive measures targeting these US companies have also been unveiled.
The companies in question are Inter-Coastal Electronics, System Studies & Simulation, IronMountain Solutions, Applied Technologies Group, Axient, Anduril Industries and Maritime Tactical Systems.
They are prohibited from engaging in China-related import or export activities, and from making new investments within China, according to the MOC.
Senior executives of these companies are banned from entering China, and their existing work permits and residency qualifications in China will be nullified. Additionally, no new permits or qualifications will be issued to these individuals, the MOC said.
In response to a media inquiry regarding the addition of the seven companies to the list, an MOC spokesperson said that the United States has recently been engaging in frequent weapon sales to China's Taiwan region, seriously undermining the one-China principle and violating the three joint communiques between China and the United States.
The weapon sales have also breached international law and posed a threat to peace and stability across the Taiwan Strait, the spokesperson said.
The seven companies have disregarded China's strong objections by participating in weapon sales and engaging in so-called military technology cooperation, severely undermining China's sovereignty, security and development interests, according to the spokesperson.
The MOC stressed that China has always handled issues related to its unreliable entity list with caution, and that the list targets only a handful of foreign entities that jeopardize China's national security.
Therefore, law-abiding foreign businesses should have no concerns, the spokesperson said. "The Chinese government continues to welcome enterprises from around the world to invest and operate in China, and is committed to providing a stable, fair and predictable business environment for law-compliant foreign companies."
