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China Sanctions Lockheed Martin Over Military Sale to Taiwan

China will sanction Lockheed Martin for its involvement in a $620 million arms sale to Taiwan (see 2007090078), China’s Foreign Ministry said July 14, according to an unofficial translation of the transcript of a press conference. A ministry spokesperson called on the U.S. to stop the sale, which includes the recertification of advanced missiles to the Taipei Economic and Cultural Representative Office in the U.S. “In order to safeguard national interests, China decided to take necessary measures to impose sanctions on Lockheed Martin, the main contractor in this arms sales case,” the spokesperson said, adding that further military sales will “damage” U.S.-China relations.

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In a statement, Lockheed Martin deferred to the U.S. government. “Foreign Military Sales are government-to-government transactions and we work closely with the U.S. government on any military sales to international customers,” a company spokesperson said. “Discussions about sales to foreign governments are best addressed by the U.S. government.”