Pentagon Expands List of Chinese Companies Tied to Military, Adding Alibaba, BYD, and Baidu
The expansion is part of a program that began in 2021 under congressional direction to catalog firms that could facilitate the transfer of advanced technology to the Chinese military. While the list does not impose a trade embargo, the Department of Defense says it is designed to deter U.S. defense contractors from partnering with companies that might provide sensitive data or components to China’s armed forces.
Alibaba’s inclusion followed the Pentagon’s claim that the e‑commerce titan is affiliated with China’s Ministry of Industry and Information Technology (MIIT), a relationship that the U.S. agency says helps bolster the country’s defense industry. Alibaba, which trades on the New York Stock Exchange, has publicly dismissed the allegation, labeling the designation as “unfounded.”
Baidu, a firm that has moved beyond search into artificial intelligence and autonomous driving, also rejected the Pentagon’s assertion, calling the claim “entirely baseless.” Similarly, BYD, a leading electric‑vehicle manufacturer, stated it is “not a military enterprise” and that the determination “seriously contradicts the facts.” BYD added that it would pursue all available administrative and legal remedies.
The Pentagon noted that both BYD and Baidu are overseen by the same ministry that governs China’s technology and industrial policy. BYD’s dominance in the global EV market has prompted U.S. officials to discuss the possibility of Chinese automakers building plants in the United States, while some lawmakers have called for a ban on Chinese electric vehicles.
Other companies on the list include Unitree, a robotics startup famous for its dancing robots that appeared on NBC’s “America’s Got Talent.” The Pentagon said Unitree received government assistance as a small or medium‑sized enterprise that is “highly innovative” and “critical to the country’s supply chain.” DJI, a major consumer‑drone maker, also appears on the roster.
The Chinese Embassy in Washington condemned the list as an overreach of national‑security concerns and a discriminatory practice. It stated that Chinese companies comply with the laws of the countries where they operate and urged the United States to create a fair, non‑discriminatory environment.
The House Select Committee on the Chinese Communist Party released a statement following the Pentagon’s update, calling the list a warning to American businesses, government agencies, and the public. The committee urged that companies listed on U.S. stock exchanges be delisted and that no American company do business with them, arguing that such relationships would “enable China’s military ascendance.”
The roster is part of a broader U.S. strategy aimed at countering what the Pentagon calls China’s “military‑civil fusion” program, which seeks to blend civilian technological development with defense applications. The list is updated annually, and the latest version reflects the Pentagon’s assessment that the Chinese military is increasingly seeking advanced technology from civilian companies.
For now, the companies named can continue to operate in the United States, but they face heightened scrutiny from defense contractors and potential reputational damage. The Pentagon has not announced new restrictions beyond the list itself, and the U.S. government has yet to indicate whether it will take further regulatory or legal action against the companies named.
The updated list, released on June 8, 2026, is the latest in a series of U.S. measures aimed at limiting the flow of technology that could benefit China’s military capabilities. The full list of 188 entities is available on the Department of Defense website.