US Adds Alibaba, BYD, and Baidu to Chinese Military Companies List

The United States has added three major Chinese companies—Alibaba, BYD, and Baidu—to its list of “Chinese military companies.” The decision was announced by the US Department of Defense, also known as the Pentagon, and has drawn strong reactions from both China and the companies involved.

Alibaba, BYD, and Baidu are among China’s most successful businesses. Alibaba is a leading e-commerce company, Baidu is known for its internet search services and artificial intelligence technologies, and BYD is one of the world’s largest electric vehicle manufacturers. Their addition to the Pentagon’s list marks a significant development in US-China relations.

US Adds Alibaba, BYD, and Baidu to Chinese Military Companies List

According to the Pentagon, these companies have links to China’s military development through connections with government organizations and China’s military-civil fusion strategy. This strategy encourages cooperation between civilian industries and the military in areas such as technology, research, and innovation. The US government believes that some commercial companies may indirectly support military advancements through these partnerships.

China strongly criticized the move. The Chinese Embassy in Washington described the designation as discriminatory and accused the United States of misusing national security concerns. Chinese officials stated that Chinese companies operating internationally follow the laws and regulations of the countries in which they do business. They urged the US government to create a fair and non-discriminatory business environment.

Alibaba also rejected the allegations. A company spokesperson said there was no basis for including Alibaba on the list and insisted that the company is not part of any military-related program. Alibaba announced that it would consider legal options to challenge the designation. At the time of the announcement, BYD and Baidu had not publicly responded.

The Pentagon’s list now includes 188 companies, an increase from 134 companies in 2025. Businesses on the list and their subsidiaries may face restrictions when it comes to US defense contracts. New rules connected to the blacklist are expected to take effect later this month.

The decision comes shortly after a summit between US President Donald Trump and Chinese President Xi Jinping. The meeting was aimed at improving relations between the two countries after years of trade disputes and competition in technology and manufacturing sectors. As a result, some observers believe the new designations could create additional tensions between Washington and Beijing.

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Some US lawmakers support the move. Representative John Moolenaar argued that companies connected to China’s military should not be allowed to benefit from American markets or supply chains. He called for stronger actions against firms viewed as threats to US national security.

However, not everyone agrees. Dennis Wilder, a former US national security official, questioned whether such a broad blacklist would be effective. He noted that many American businesses already have strong commercial relationships with these Chinese companies. According to Wilder, restrictions may have limited impact unless stricter penalties are introduced.

The latest decision highlights the ongoing challenges in the relationship between the world’s two largest economies. As both countries continue to compete in technology, trade, and security, actions like these are likely to remain a source of debate and international attention.