China Sanctions US Firms Amid Taiwan Tensions

China imposed sanctions on seven US companies following recent US military sales and aid to Taiwan. The move comes as the US defense bill increases military spending and adopts a more confrontational stance towards China. Meanwhile, Taiwan reports Chinese naval activities near its waters, escalating regional tensions.

In a retaliatory measure against the United States, China has sanctioned seven American companies in response to Washington's military support for Taiwan. The decision follows recent announcements regarding the US's military sales and aid packages to the self-governing island, which China considers part of its territory.

The US defense spending bill, already a point of contention, has further fueled tensions. It allocates substantial funds towards counter-China military strategies, and this escalatory approach has drawn criticism from Beijing, which views it as interference in Chinese domestic matters and a threat to regional stability.

Among those affected by the sanctions are notable firms, including Raytheon Canada and Hudson Technologies Co. The sanctions involve asset freezes within China and prohibit any transaction or engagement by Chinese entities with these companies, as the geopolitical dispute over Taiwan intensifies.

(With inputs from agencies.)