Pentagon adds Chinese firms to military list, then withdraws filing

In a move that escalates tensions between Beijing and Washington just weeks ahead of US President Donald Trump’s anticipated trip to Beijing, the Pentagon added a wide range of Chinese companies to a list of firms with alleged links to the military before withdrawing the document.

Giants like Alibaba Group Holding, Baidu and BYD are among the firms added to the list. Alibaba is the parent company of the South China Morning Post.

The updated designation also names firms spanning the biotech, AI, drone and semiconductor sectors, including WuXi AppTec and RoboSense Technology. Chinese memory chip manufacturers Yangtze Memory Technologies and ChangXin Memory Technologies were removed from the list.

The document was removed from the Federal Register on Friday morning upon agency request for withdrawal. According to a letter acquired by the SCMP, the US Defence Department’s Privacy, Civil Liberties and Transparency Directorate requested the removal of its notice on Friday without explaining the reason. The Pentagon told the SCMP in an email that it had nothing to announce at this time.

Friday’s move underscores the inconsistency and mixed messaging emanating from the Trump administration, as some in Washington policy circles suggested that arms of the administration had not coordinated on the announcement.

Washington’s Section 1260H list identifies companies the US government believes are “Chinese military companies” or contributors to China’s military-civil fusion efforts.

South China Morning Post