The Pentagon has expanded its list of Chinese military-linked companies to include notable businesses such as Alibaba, BYD, and Baidu. This decision bars these companies from obtaining U.S. defense contracts. The updated list reflects increasing concern about Beijing’s strategy of leveraging non-state companies for military purposes.
This initiative started in 2021, aiming to identify firms with connections to the Chinese military. It covers companies contributing to China’s defense industrial base. The Pentagon’s assessment suggests that the Chinese military seeks advanced technologies through companies and research programs appearing civilian.
The Chinese Embassy accuses the U.S. of “overstretching” national security concepts to target Chinese companies.
Alibaba and Baidu have declared that there is no justification for their inclusion. Alibaba denies any military affiliation or participation in a military-civil fusion strategy. Baidu has criticized suggestions of it being a military company as “entirely baseless.”
This year’s list now includes 188 entities, up from 130 last year. DJI, the drone maker, was already on the list. Being named can harm a company’s reputation and impose further restrictions.
After the list update, the House Select Committee on the Chinese Communist Party warned American entities against engaging with listed firms, suggesting potential support to China’s military rise.
The Pentagon highlights Alibaba’s assistance to China’s defense sector due to its ties with the Ministry of Industry and Information Technology. Similarly, BYD and Baidu are linked to this ministry, overseeing China’s tech and industrial agenda.
President Donald Trump had previously welcomed BYD to build plants in the U.S. However, some U.S. lawmakers favor a ban on Chinese electric vehicles.
Also on the list is Unitree, known for its robotic innovations, which previously impressed on “America’s Got Talent.” The Pentagon claims Unitree received Chinese government support as an innovative company.
BYD and Unitree have not yet responded to comment requests.