
China has a diplomatic rule, ‘Tao Guang Yang Hui’, which means to hide its capacities and bide its time. China has stuck to the rule, but this time China has decided to do something else for self preservation. Thus, China explicitly declared that it will impose sanctions on those U.S. companies involved in arms sales to Taiwan and this has led to panic amongst U.S. companies.
People's Daily Online, China, explained how different the Chinese sanction is from the American sanction. The American sanction is offensive; it puts pressure on developing and developed countries, alike and America sees the China problem from a very narrow perspective. The Chinese sanction is defensive; it just wants to protect itself on the road to openness and that U.S. companies who choose to ignore the authoritative objections from the Chinese government and to sell arms to Taiwan, will face sanctions.
In turn, China knows this sanction could affect the Chinese economy. This sanction is not for giving stern obligations to those companies, but to show that China has another diplomatic rule. This diplomatic rule is ‘You Suo Zuo Wei’, which means doing something worthwhile. China might have given up on Tao Guang Yang Hui, but China is going to use You Suo Zuo Wei to preserve their interests.