China has imposed sanctions on six American companies, banning them from imports, exports, and investment in the country.

The move comes despite ongoing high-level talks between Chinese and US officials to cool disputes over trade, technology, and security.

China’s Ministry of Commerce announced Thursday that six firms have been added to its “unreliable entity list.” The sanctioned companies include Huntington Ingalls Industries, Inc., one of America’s leading shipbuilders, along with Saronic Technologies, Inc., Aerkomm Inc., and Oceaneering International, Inc.

Under the sanctions, the firms are barred from trade activities in China and prohibited from making new investments. Beijing said the step was necessary due to threats posed to China’s national security and development interests.

Sanctions despite ongoing trade talks

The announcement came just days after Chinese and US delegations met in Madrid on September 14–15 to discuss trade and technology issues, including concerns over TikTok.

On Friday, Chinese President Xi Jinping held a phone call with US President Donald Trump, which Trump later described as “very productive.” The sanctions, however, suggest deep-rooted frictions remain despite the diplomatic outreach.

China urges US to remove tariffs

In a separate statement, the Chinese Commerce Ministry urged Washington to remove what it called “unreasonable tariffs” and create better conditions for bilateral trade.

Ministry spokesperson He Yadong said US restrictions were the “biggest obstacle” to normal economic cooperation.

“It is hoped that the United States will work in the same direction with China to create favorable conditions for the stable, healthy, and sustainable development of China-U.S. economic and trade relations,” He noted.