China unhappy with US over Taiwan arms sale

China made their unhappiness known with the US decision to sell $6.4 billion in weaponry to Taiwan.  The Chinese reaction was swift as only hours after the American decision they decided to suspend all military exchanges with the US.   The development has further strained the complex relations between the two powers, which are increasingly linked by security and economic issues.

China's Defense Ministry said the sales to Taiwan cause "severe harm" to overall US-China cooperation, the state-run Xinhua News Agency reported. The Foreign Ministry threatened sanctions against US companies involved in the arms sales.

The latest suspension of military ties should affect planned visits to China by US Secretary of Defense Robert Gates and Admiral Michael Mullen, chairman of the US Joint Chiefs of Staff.  A visit to the US by the Chinese military's chief of the general staff, Chen Bingde, could also be called off.

Taiwan's Ma told reporters Saturday that the deal should not anger the mainland because the weapons are defensive, not offensive.   "The weapons sale decision will ... allow us to have more confidence and sense of security in developing relations," he said.