The Pentagon added several major Chinese companies—including tech giant Alibaba and electric vehicle company BYD—to its list of firms allegedly tied to China’s military on Tuesday. The move is part of an ongoing U.S. policy to limit China’s military and technological influence while warning American entities about potential risks.
The list, formally known as “Section 1260H,” now includes over 80 “Chinese military companies” providing commercial services. Its primary purpose is to alert U.S. organizations to the risks of doing business with these firms, though inclusion doesn’t lead to an immediate ban on their operations. Other companies newly added to the list include search platform Baidu and aircraft manufacturer COMAC.
China’s embassy in Washington sharply criticized the move, calling the list “discriminatory.” The embassy emphasized that Chinese companies operate in accordance with the laws of their host countries. An Alibaba spokesperson said there is “no basis” for the company’s inclusion on the list, firmly denying any connection to the Chinese military or “military-civil fusion” policy, and threatened to take legal action.
Alibaba and BYD were cited on the list as companies contributing to China’s “military-civil fusion,” which supports its defense efforts. Other companies already on the list, including tech giants Tencent and Huawei, drone maker DJI, and battery manufacturer CATL, remain there. The move reflects growing tensions between the two superpowers.