The Pentagon has added several Chinese companies, including Alibaba, BYD, and Baidu, to its list of entities prohibited from obtaining U.S. defense contracts. This list, updated on June 9, 2026, identifies non-state-owned Chinese companies that the Pentagon believes have connections to the Chinese military, reflecting concerns about Beijing's use of civilian businesses for military purposes. The list, created in 2021, now includes 188 entities, an increase from approximately 130 last year.
The Chinese Embassy criticized the U.S. for what it termed an overreach of national security, asserting that Chinese companies comply with local laws. Alibaba, BYD, and Baidu have denied any military affiliations, with Alibaba stating it is not involved in military activities and Baidu calling the allegations baseless. BYD also expressed its intent to protect its rights legally.
The House Select Committee on the Chinese Communist Party stated that the updated list serves as a warning to American businesses and government entities, urging that publicly traded companies on the list should be delisted. The Pentagon noted that Alibaba is linked to China's Ministry of Industry and Information Technology, which oversees technology and industrial policies. Other companies on the list include DJI and Unitree, the latter known for its innovative robotics.