Global Times (PRC) — China to Sanction Lockheed Martin, Cut It Off From Its Rare Earths

Lockheed Martin is an arms producer focused on advanced weapons and equipment, and China does not have many direct business with the company, Wang Ya'nan, a Chinese aviation industry expert and chief editor of Aerospace Knowledge magazine, told the Global Times on Tuesday.

However, it is possible that China will restrict the supply chain of Lockheed Martin, as the company would inevitably import raw materials including non-metals, metals and minerals including rare earths from China, via its suppliers who do have businesses with China, Wang said. Other component manufacturers and system designers that are related to China could also be restricted from doing business with Lockheed Martin as part of the sanctions, Wang said.

Many of Lockheed Martin's key products, including F-35 fighter jets and Patriot missiles, rely on components made with rare earths, analysts said. China is the world's largest rare-earth exporter, and the US imports about 80 percent of its rare-earth needs from China, reports said.

Also, the UK's defense ministry revealed in 2019 that Exception PCB, a Chinese-owned company, was making circuit boards for F-35 fighter jets, the UK's Sky News reported at the time. The parts "control many of the F-35's core capabilities," the network reported.

Though not large scale, Lockheed Martin has some business in China in new energy, civilian aviation and space industries, according to Weihutang, a program on military affairs affiliated with China Central Television. "Actual effects aside, this is a political statement.

US wantonness won't be unchecked when it comes to China," He Weiwen, an executive council member of the China Society for World Trade Organization Studies, told the Global Times on Tuesday....

 The US crossed a red line. China will only act with respect to its red lines, otherwise it will warn.

But if a red line is crossed, it will react decisively. Guaranteed.

Global Times (PRC)
China to Sanction Lockheed Martin, Cut It Off From Its Rare Earths
Liu Xuanzun, Chu Daye and Tu Lei