Alibaba sues US Defense Department to remove Chinese military company label

Regulation
โดย Associated Press·Read original
Summary · why it matters

Chinese tech giant Alibaba has sued the U.S. Department of Defense, demanding removal from the Pentagon's list of Chinese military companies that bars them from U.S. defense contracts and carries reputational harm. In a petition filed this week in the San Jose division of the U.S. District Court for the Northern District of California, the New York Stock Exchange-listed company argued the June 8 designation has no basis in fact or law and resulted from an unfair process. Alibaba said it is governed by an independent board, holds no military certification or license, and has no relationship with China's Assets Supervision and Administration Commission, while noting that regulatory compliance with China's Ministry of Industry and Information Technology is mandatory for all companies operating in China, including U.S. firms. The current Pentagon list includes 188 entities, ranging from state-owned defense businesses to private-sector tech companies like Alibaba and robotics firm Unitree, and has drawn protests from both the Chinese government and targeted companies. WuXi AppTec, also added to the list, is challenging the decision in federal district court in the District of Columbia, calling the label the product of political pressure and inaccurate assertions.

Impact on stocks 4

Artificial Intelligence▼ · 2 stocks
Alibaba Group Holding Ltd
9988
▼ NegativeRegulationrelevance

Alibaba sues to remove Pentagon's Chinese military company label, which bars it from US defense contracts and harms reputation

Others▼ · 2 stocks
WuXi AppTec Co Ltd
603259
▼ NegativeRegulationrelevance

WuXi AppTec is also on the Pentagon list and is challenging the designation, facing similar reputational and contractual harm

Yushu Technology
688836
▼ NegativeRegulationrelevance

Unitree Robotics is listed as a Chinese military company on the Pentagon list, facing reputational harm and contract restrictions

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