China sanctions top U.S. defense companies over Taiwan arms sales, but tensions could ease in Munich

Here’s what else you need to know about China today:

Top story: China plans to grow genetically modified corn at home. Beijing is trying hard to modernize its seed and biotechnology industry in a bid to become self-sufficient in food security. But while China has poured money into researching such technologies, the Chinese public has its guard up. Scroll down for a summary or click through for the whole thing.

China sanctioned top U.S. military companies over arms sales to Taiwan, as tensions heat up over the self-ruled island amid the fallout over China’s suspected surveillance balloon. The two defense companies, Lockheed Martin and Raytheon, will be barred from importing or exporting goods and making new investments in China. Lockheed Martin has sold air traffic control equipment and helicopters to China for commercial use, while Raytheon has sold aircraft engines and landing gear. Neither of them sell weapons to China. The U.S. is bound by the 1979 Taiwan Relations Act to provide Taiwan with the means to defend itself.

Nonetheless, U.S.-China tensions could ease this weekend, when U.S. Secretary of State Antony Blinken and top Chinese diplomat Wáng Yì 王毅 are expected to attend a security conference in Munich. Earlier this month, Blinken postponed — but was clear to emphasize did not cancel — his trip to China, amid the furor over “Balloon-gate.”

China and Iran called for a lift in sanctions under the 2015 nuclear deal today after they pledged deeper economic and political ties in their meeting on February 14. Both sides also urged (in Chinese) neighboring Afghanistan to “end all discriminatory measures against women, ethnic minorities, and other religions,” and drew up initiatives to promote ecommerce and agriculture between their two countries.

Foreign investment in Chinese stocks hit a record high in January, reaching $27.7 billion. Foreign investors have been able to buy Chinese A-share stocks since 2003 via the Qualified Foreign Institutional Investor system. Also: A boom for Chinese tech IPOs on domestic markets, and trendy drinks brand Genki Forest quietly drops a label with a Japanese character in our daily roundup from the Chinese business press.