In a swift and unexpected move, the United States removed an updated list of companies it claims are connected to China’s military, just hours after publishing it. The development created uncertainty and brought fresh focus to rising security tensions between Washington and Beijing.
The withdrawn list had named major Chinese technology firms including Alibaba and Baidu, as well as BYD and WuXi AppTec. Shortly after the notice appeared in the official federal journal, the Pentagon issued a letter requesting its removal. No detailed reason was provided for the reversal.
Under US regulations, placement on the military-linked list does not trigger direct sanctions. However, it can block companies from securing Pentagon contracts and sends a strong national security message. Experts note that such listings can also damage corporate reputation and influence investor confidence or global partnerships.
In addition, 2 Chinese chipmakers were removed from the same roster. The decision drew attention from lawmakers and industry observers who remain concerned that advances in critical technologies could strengthen China’s defence capabilities.
Neither Beijing nor the companies mentioned issued immediate public statements on the brief listing and its withdrawal. In previous instances, firms such as Alibaba have rejected claims of military ties and signaled readiness to pursue legal remedies against such classifications.
The incident underscores the delicate balance in US–China relations. With senior leadership discussions expected in the coming months, actions like these may shape the broader diplomatic and trade landscape between the world’s 2 largest economies.
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