Alibaba, Baidu reject 'baseless' Pentagon list of military-related firms; expert says US targeting Chinese tech firms could erode its own competitiveness
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Several Chinese companies, including Alibaba, Baidu and WuXi AppTec, have rejected their inclusion on a so-called US list alleging links to Chinese military, calling the designation baseless and factually inaccurate. A Chinese expert said the expanded list, which now covers leading Chinese firms across multiple sectors, represents a politically motivated and economically biased move of the US, reflecting Washington's attempt to curb the growth of China's technology companies under the guise of national security.
In a statement sent to the Global Times on Tuesday, Alibaba said "there's no basis to conclude that Alibaba should be placed on the Section 1260H List. Alibaba is not a Chinese military company nor part of any military-civil fusion strategy. We will take all available legal action against attempts to misrepresent our company." The statement came after the Pentagon updated its list of Chinese companies allegedly supporting Chinese military, replacing a similar list published in early 2025.
Baidu also pushed back against the list. "We categorically reject the inclusion of Baidu on the list, and there is no credible justification for adding Baidu to the list. The suggestion that Baidu is a military company is entirely baseless," a Baidu spokesperson told the Global Times on Tuesday, adding that it will not hesitate to use all options available to have the company removed from the list.
WuXi AppTec said in a statement to the Hong Kong exchange on Tuesday that they are not owned or controlled by or affiliated with any military or government entity of China. "We believe that the designation of WuXi AppTec on this updated list, along with the alleged basis for the designation, was clearly a mistake, and WuXi AppTec will take immediate actions to challenge and correct this erroneous designation," it said in the statement.
Though the US listing released on Monday does not formally impose sanctions on Chinese firms, under recent US law the Defense Department will be prohibited starting later this month from contracting directly with companies on the list, and from buying their products or services via third parties beginning in 2027.
A Chinese expert said the Pentagon's list of Chinese companies is a politically motivated move that undermines international trade rules. Covering leading tech firms across multiple sectors, the expanded list represents a discriminatory and anti-competitive measure that could distort markets and erode global business confidence. The expert warned that such actions could ultimately backfire, weakening the US' credibility and global competitiveness.
In February, the Pentagon briefly posted an updated list, but then quickly withdrew it. The new version released on Monday mirrors the withdrawn February list with the exception of the inclusion of China's top memory chipmakers CXMT and YMTC, two companies that had been removed from the short-lived February index, Reuters reported.
Other companies added include biotech firm WuXi AppTec, AI-driven robotics company RoboSense Technology Co Ltd and Unitree, a leading Chinese maker of humanoid and quadruped robots.
Zhou Mi, a senior researcher at the Chinese Academy of International Trade and Economic Cooperation, told the Global Times that the updated list significantly broadens its coverage, targeting not just specific technologies but leading Chinese companies across multiple sectors, particularly in the tech field. He noted that the move appears designed to limit the market share of China's top enterprises abroad. Such unilateral, discriminatory measures conflict with WTO rules, which require transparency and sufficient evidence when invoking national security concerns, he said.
Zhou pointed out that these politically driven measures could not only affect Chinese firms, they could also have a clear impact on the US market, including reducing the supply of related services and business, shrinking the market, and lowering competition, ultimately undermining US innovation and industrial development.
Zhou added that the list reflects concerns over the growing competitiveness of Chinese tech companies. At its core, he said, the measures are anti-competitive and represent a politicization of trade. Such actions could disrupt effective market operations and hinder international collaboration, he said. Zhou warned that in the long term such measures could ultimately weaken the US' tech competitiveness, erode its global service capabilities, and diminish its role in global governance.
Zhou pointed out that these politically driven measures could not only affect Chinese firms, they could also have a clear impact on the US market, including reducing the supply of related services and business, shrinking the market, and lowering competition, ultimately undermining US innovation and industrial development.
Zhou added that the list reflects concerns over the growing competitiveness of Chinese tech companies. At its core, he said, the measures are anti-competitive and represent a politicization of trade. Such actions could disrupt effective market operations and hinder international collaboration, he said. Zhou warned that in the long term such measures could ultimately weaken the US' tech competitiveness, erode its global service capabilities, and diminish its role in global governance.
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