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Global Geo-political Series: Trump administration takes hard stance against China by sanctioning bank and announcing arms sales to Taiwan

After reports were published that the Trump administration is getting frustrated with China’s efforts to help the United States to handle North Korea’s ballistic missile and nuclear missile threats, it has started taking up tough actions against China. US announced that it is imposing sanctions against Bank of Dadong, a Chinese lender for failing to abide by UN resolution. Treasury Secretary Mnuchin announced the move saying that this bank has been used by North Korea to launder money as well as access the United States’ and International financial system. The White House moves this week following the apparent failure of President Donald Trump’s efforts to enlist Beijing’s support for tougher UN sanctions against Pyongyang.

In addition to that, the United States also announced arms sales worth $1.4 billion to Taiwan. The weapons sale, announced by Washington on Thursday, requires congressional approval and comes two years after President Barack Obama announced a $1.83 billion arms sale to Taiwan. These two decisions, especially to arm Taiwan has created quite a furor in global politics and especially between the United States and China. The Chinese embassy in the United States said that it was a wrong move and is in conflict with ““the consensus reached by the two presidents in Mar-a-Lago and the positive development momentum of the China-US relationship”. The statement from the Chinese embassy also says, that the deal, “grossly interferes [in] China's domestic affairs, jeopardizes China's sovereign and security interest and undermines China's efforts to realize national unification,” the embassy says. “The Chinese government and Chinese people have every right to be outraged”.

This is sure to be a hot topic in next week’s G20 meeting when President Trump meets with President Xi of China in Germany.

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