Pentagon accuses BYD, Baidu, Alibaba of aiding China’s military

Lead

The United States has added several prominent Chinese companies—including e-commerce giant Alibaba, internet search provider Baidu, and electric vehicle maker BYD—to a Pentagon list of firms believed to be aiding Beijing's military, a move that could further strain relations between the world's two largest economies. The long-awaited update, released Monday, supersedes a list from early 2025 and arrives less than a month after President Donald Trump met with Chinese leader Xi Jinping in Beijing, where the two sides sought to maintain a delicate trade-war truce.

Coverage Comparison

The news was reported by multiple international outlets, including Reuters, Dawn, The Guardian, the Jerusalem Post, and The Hindu. While all sources noted the potential to inflame tensions, they offered slightly different angles. Dawn and The Hindu emphasized the Chinese government's strong opposition, while The Guardian highlighted the companies' denial and the Pentagon's lack of evidence. The Jerusalem Post additionally reported on the inclusion of telecoms equipment maker Baicells and quoted a US lawmaker.

Key Claims

The Pentagon identified Alibaba, Baidu, BYD, and NIO as companies contributing to China's defense industrial base, according to reports. Alibaba is said to be affiliated with China's Ministry of Industry and Information Technology, as per the Pentagon's filing, which was reported by The Hindu. The list now includes 188 Chinese entities, up from roughly 130 last year, as reported by The Hindu. Companies on the list face reputational damage and potential restrictions on US defense contracts, according to multiple sources. A US law prohibits the Defense Department from contracting directly with listed companies starting later this month, reported Reuters and others.

Perspectives

The Chinese government and the companies themselves have rejected the designations. China's foreign ministry called the list "discriminatory" and "unreasonably suppressed" Chinese companies, as quoted by Dawn. The Chinese Embassy in Washington accused the US of "overstretching the concept of national security and making discriminatory lists to go after Chinese companies," according to The Hindu. Alibaba stated there was "no basis" for its inclusion, asserting it is not a Chinese military company, as quoted by The Guardian. Baidu "categorically" rejected its inclusion, calling the suggestion "entirely baseless," per Reuters. The Pentagon's filing did not provide evidence linking these companies to the Chinese military, as noted by The Guardian.

Some US officials, however, support the move. House of Representatives China Select Committee Chair John Moolenaar said the updated list "is a warning to American businesses, all levels of government, and the American people," according to the Jerusalem Post. The list also includes other companies such as biotech firm WuXi AppTec, robotics company RoboSense, and Unitree, a maker of humanoid robots, as reported by multiple sources.

Overall, while the US action reflects security concerns over China's military-civil fusion strategy, critics argue it lacks evidence and could harm global supply chains and bilateral trade. The companies have vowed to challenge their inclusion legally, and China has promised to protect its firms' interests.