US regrets China’s riposte to arms sales

Washington defended arms sales, such as those notified to  Congress Friday, as boosting regional security.

“We regret that the Chinese government has announced that  it plans to curtail military-to-military and other  security-related exchanges and take action against US firms  that supply defensive articles to Taiwan,” said PJ Crowley,  the State Department’s chief spokesman.

“We believe our policy contributes to stability and  security in the region,” he said.

Geoff Morrell, the Pentagon press secretary, also voiced  regret over the Chinese response.

China opposes all US arms sales to Taiwan, which it  regards as part of its territory. For the first time, it said  it would impose unspecified sanctions on unnamed companies  involved in arms sales to Taiwan and scale down contacts with  the United States unless it cancelled the new, proposed $6.4  billion arms package.

Among the sales, subject to congressional review, would be  Black Hawk utility helicopters built by Sikorsky Aircraft, a  unit of United Technologies Corp.; Lockheed Martin Corp-built  and Raytheon Co-integrated Patriot missile defences; and  Harpoon land- and sea-attack missiles built by Boeing Co.

Representatives of Sikorsky, Raytheon and Boeing either had  no immediate comment or did not respond to questions left for  them. A Lockheed spokesman referred a caller to the Defence  Security Cooperation Agency, which formally announced the sales  plans. An agency representative could not immediately be  reached.

Boeing, the No. 1 US exporter, has big commercial  interests in China, the world’s most populous market, including  commercial aircraft sales. United Technologies also has  significant sales in China, where it sells Carrier brand  heating and air-conditioning, Otis elevators and escalators and  other products.

The other arms makers appear to have more limited exposure  to Chinese sanctions.

The dispute deepens rifts between the world’s biggest and  third-biggest economies. Although they are cooperating on  counter-terrorism, nuclear arms control, climate change and  other major security issues, Beijing and Washington are at odds  over trade as well as China’s tight control of its currency,  dissent in Tibet and the Internet.

Since 1949 when Nationalist forces fled to Taiwan after  losing the mainland to Communist rebels, Beijing has demanded  Taiwan accept unification, threatening to use force if  necessary.

“The United States will shoulder responsibility for the  serious repercussions if it does not immediately reverse the  mistaken decision to sell weapons to Taiwan,” Chinese Vice  Foreign Minister He Yafei told US ambassador to China Jon  Huntsman in comments reported on the ministry’s website.

China’s Defence Ministry said military exchanges would be  put on hold and Beijing postponed vice ministerial-level talks  on security, arms control and non-proliferation.

“China will also impose corresponding sanctions on U.S.  companies that engage in weapons sales to Taiwan,” the Foreign  Ministry said, without naming any companies. A spokesman for  the Chinese embassy in Washington did not immediately respond  to a request for comment.

But Beijing has shown no sign of trying to use its huge  pile of US dollar assets to pressure Washington, or impose  broader trade penalties — both steps that would undercut  China’s own economic strength.

The feud could damage broader diplomacy between the two  permanent members of the UN Security Council. Washington has  sought China’s backing in its nuclear standoffs with Iran and  North Korea and in fighting climate change, and is preparing  for a world summit on nuclear weapons in April.

China’s official Xinhua news agency said in an  English-language commentary that the arms sales “will cause  seriously negative effects on China-US exchanges and  cooperation in important areas, and ultimately will lead to  consequences that neither side wishes to see.”