The Pentagon on June 9 added several major Chinese companies to a list that identifies firms it says have ties to the Chinese military, BBC News reported. The list includes e-commerce giant Alibaba, electric vehicle maker BYD, search engine Baidu, EV maker Nio, and aircraft manufacturer Comac.
The list, formally known as Section 1260H, is part of a Pentagon program intended to alert U.S. organizations to the risks of doing business with companies that function as “military-civil contributors” to Chinese defense operations, according to the department’s description. Inclusion on the list does not constitute an immediate ban but can lead to enhanced scrutiny and reputational consequences for firms operating in the U.S. market.
Alibaba rejected the designation. “We are not a Chinese military company nor part of any military-civil fusion strategy,” a spokesperson told BBC News. “We will take all available legal action against attempts to misrepresent our company.”
The Chinese embassy in Washington said the list is “discriminatory” and said Chinese firms have “strictly complied with the laws of host countries.”
Baidu, Nio, and Comac did not immediately respond to requests for comment from BBC. Companies added previously, including Tencent, Huawei, drone maker DJI, and battery manufacturer CATL, remain on the list. The list now includes more than 80 companies.
The designation comes amid ongoing tensions between the United States and China over trade, technology, and defense issues. The Pentagon has expanded the list in recent months as part of a broader effort to restrict Chinese access to U.S. markets and supply chains.