US adds Alibaba, BYD and other Chinese tech champions to military company blacklist

In a Federal Register notice scheduled for publication on Wednesday, the US Department of Defence designated a broad range of Chinese firms as “Chinese military companies” under Section 1260H of the National Defence Authorisation Act, including electric vehicle makers, artificial intelligence companies, battery manufacturers, biotech firms and solar suppliers. The designation can complicate companies’ access to US capital markets and government business, although it does not automatically trigger sanctions.

Alibaba is the owner of the South China Morning Post.

The Pentagon said the companies met statutory criteria for designation based on factors including alleged affiliations with Chinese state entities, military-civil fusion programmes, the People’s Liberation Army or government industrial initiatives. Several companies were cited for participation in programmes such as China’s “Little Giant” or “Single Champion” schemes, which Washington increasingly views as supporting Beijing’s strategic technology ambitions.

The move marks a significant expansion of a list that has evolved from focusing largely on state-owned defence and telecommunications groups to encompassing a much wider range of commercial technology companies. The latest additions underscore growing US concerns about China’s advances in sectors including artificial intelligence, biotechnology, electric vehicles, robotics, batteries, semiconductors and renewable energy.