Pentagon adds Alibaba, Baidu and BYD to China’s military-linked list

The U.S. has added Alibaba, Baidu, and BYD to a Pentagon list of Chinese companies tied to Beijing’s military. The update also names several chip, biotech, robotics, and telecom firms operating in the United States.

• The Pentagon added Alibaba, Baidu, BYD, CXMT, YMTC, WuXi AppTec, RoboSense, and Unitree to its updated list.
• The list does not impose direct sanctions, but it affects Defense Department contracting rules.
• China’s embassy criticized the move, while WuXi AppTec called its inclusion a mistake.

The list does not impose direct sanctions, but it affects Defense Department contracting rules. The move comes weeks after President Donald Trump met Chinese President Xi Jinping in Beijing.

Pentagon updates China military company list

According to the Pentagon filing released Monday, the listed firms qualify as Chinese military companies under U.S. law. The update replaces an early 2025 version of the list. It also follows a withdrawn February version that briefly appeared online before the Pentagon removed it. The new list largely matches that earlier version. However, it adds major memory chipmakers CXMT and YMTC.

The list now covers several major Chinese technology and industrial firms. Alibaba, Baidu, and BYD joined the list alongside WuXi AppTec, RoboSense, and Unitree. The Pentagon also added Baicells, a telecom equipment maker previously reported under U.S. investigation. China BlueChemical Limited also joined the list. The filing noted that China’s government directly controls CNOOC, its parent oil group.

Some companies left the list in the same update. The Pentagon removed CNOOC China Ltd and CNOOC International Trading. Companies can leave the list for several reasons, including name changes or lack of U.S. operations. The filing said listed companies may petition for removal. Alibaba, Baidu, BYD, CXMT, YMTC, Unitree, CNOOC, and Nvidia did not immediately comment.

China and companies respond to designations

China’s embassy in Washington criticized the U.S. action. The embassy said Beijing opposes “making discriminatory lists to go after Chinese companies.” It also said Chinese firms follow local laws and regulations. “The U.S. should stop its wrong practice,” an embassy spokesperson said. The spokesperson urged Washington to create a fair and non-discriminatory business environment.

WuXi AppTec disputed its placement on the list. A company said the designation was “clearly a mistake.” The spokesperson said WuXi AppTec would take immediate steps to correct the listing. Other newly named companies did not immediately provide public responses. The Pentagon filing said listed firms operate in the United States.

House China Select Committee Chair John Moolenaar supported the update. He said the list warns American companies, governments, and citizens. “These Chinese companies are working with the Chinese military against our national interests,” Moolenaar said. The list also includes Unitree, a Chinese robotics company. Nvidia said on June 1 that it planned to work with Unitree on research robots.

Defense contracting limits approach

The listing does not formally sanction the companies. However, U.S. law will soon bar the Defense Department from direct contracts with listed firms. The ban on direct contracting starts later this month. Starting in 2027, the department will also face limits on indirect purchases. Those rules cover products and services bought through third parties.

The rules could affect listed firms and companies that work with them. The designation also sends a warning to Pentagon suppliers and other government agencies. Some Chinese firms have previously sued the U.S. over inclusion on similar lists. The latest update arrives during continued U.S.-China competition over technology, manufacturing, and security. Washington has expanded scrutiny of Chinese firms in chips, robotics,artificial intelligence, and biotech.

Craig Singleton, a China expert at the Foundation for Defense of Democracies, said the update shows a wider U.S. approach. “Washington is no longer treating these as isolated companies,” Singleton said. He added that the U.S. now views the technology stack as strategically contested. The Pentagon must update the list at least once each year. The new filing arrived less than a month after the Trump-Xi meeting in Beijing.