US Adds Alibaba, Baidu, BYD and Others to Military-Linked List, Prompting Sharp Response from Chinese Firms

The United States has added several major Chinese companies, including Alibaba, Baidu, BYD, and a number of other firms, to a list of entities that Washington claims have links to China’s military. The move is expected to increase scrutiny of these companies and could restrict their eligibility for future contracts and business dealings involving the US government.

According to US officials, the updated list is intended to identify companies that may support or contribute to China’s military modernization efforts. While inclusion on the list does not automatically trigger sanctions or immediate penalties, it serves as a warning to government agencies and private-sector partners regarding potential security concerns.

The decision marks another step in the ongoing strategic and economic rivalry between the world’s two largest economies. Over recent years, Washington has imposed various restrictions on Chinese technology, manufacturing, and telecommunications firms, citing national security risks. Beijing has repeatedly rejected such allegations, arguing that they are politically motivated and aimed at limiting China’s economic growth and technological advancement.

The companies named in the latest update strongly denied the accusations. Alibaba, Baidu, BYD, and other affected firms described the designation as unfair and baseless, maintaining that they operate as independent commercial enterprises with no involvement in military activities. Company representatives said the decision lacks factual support and could damage investor confidence while disrupting normal business operations.

Chinese officials also criticized the move, accusing the United States of overstretching the concept of national security to target foreign businesses. Beijing has called on Washington to provide a fair and non-discriminatory environment for international companies and to avoid actions that could further strain bilateral relations.

Market observers say the development could have implications for investor sentiment and future business cooperation between the two countries. As tensions continue over trade, technology, and security issues, the latest action highlights the growing challenges facing multinational companies operating amid an increasingly complex geopolitical landscape.

The dispute is likely to remain a key point of contention in US-China relations, with both sides standing firm on their positions regarding security, economic competition, and global influence.