The Pentagon on Friday named Alibaba Group Holding Ltd (NYSE:BABA) and BYD Co. Ltd. (OTC:BYDDY) (OTC:BYDDF) as companies with alleged ties to the Chinese military, but reportedly withdrew the updated document shortly afterwards.



<h2>Document Mysteriously Pulled, Release Pushed To Next Week</h2>



The Department of Defense submitted its updated list, which also included Baidu Inc. (NASDAQ:BIDU), to the Federal Register on Friday. According to the Financial Times, the document was removed from the website at the Pentagon's request, with defense officials saying the list would be released next week.



The defense department did not immediately respond to Benzinga‘s request for comment. 



The decision to add these prominent Chinese companies to the list is likely to reignite tensions between the United States and China ahead of the April summit between Presidents Donald Trump and Xi Jinping.



The &#34;Chinese Military Companies&#34; list, also known as the 1260H list, is mandated by Congress. It includes companies with alleged connections to the Chinese military or involvement in China's military civil fusion program, which requires them to share technology with the Chinese military.



Although being placed on the list does not carry immediate legal consequences for most companies, it does create reputational risk. It indicates the possibility of future punitive measures by the United States.



<h2>Alibaba Faces Military Designation After Intelligence Warnings</h2>



The addition of Alibaba and BYD to the list, amid ongoing U.S.-China trade tensions, could further escalate tensions ahead of the Trump-Xi summit in April.



Alibaba was added to the list three months after US intelligence agencies expressed concerns that the e-commerce giant could pose a threat to national security. 



Rep. Brian Mast (R-Fla.) previously labeled Alibaba a ‘Chinese military company’ amid congressional scrutiny over chip sales.



<h2>World’s Largest EV Maker Added Amid Legal Battle</h2>



BYD, meanwhile, has made significant progress in the electric vehicle market, overtaking Elon Musk-led Tesla (NASDAQ:TSLA) in 2025 to become the world's largest EV maker.



BYD's recent advances in battery technology have also strengthened its position in the electric vehicle market.



The EV maker recently sued the Trump administration over 100% tariffs on Chinese electric vehicles in the U.S. Court of International Trade.



Photo: Shutterstock



Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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The Pentagon briefly added Alibaba and BYD to its list of companies with alleged ties to the Chinese military, raising concerns of heightened U.S.-China tensions ahead of the Trump-Xi summit in April. The updated list, which also included Baidu, was reportedly withdrawn shortly after submission. While inclusion on the list does not impose immediate legal consequences, it poses reputational risks and suggests potential future punitive measures. The move follows U.S. intelligence warnings regarding Alibaba's national security threat and BYD's legal battle over tariffs on Chinese electric vehicles.

- The Pentagon named Alibaba Group and BYD Co. as companies with alleged ties to the Chinese military but quickly withdrew the updated document.  
- This decision could heighten tensions between the U.S. and China ahead of the upcoming summit between Presidents Trump and Xi Jinping.  
- While being listed does not have immediate legal consequences, it poses reputational risks and could lead to future punitive measures from the United States.

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Pentagon Adds Alibaba, BYD To Chinese Military List, Then Reportedly Pulls Filing As Trump-Xi Meet Looms