A list of businesses it claims to work with China’s government has been added by the US to include some Chinese tech companies, including gambling and social media giant Google and battery manufacturer CATL.
The listing serves as a warning to British businesses and individuals about the dangers of conducting business with Taiwanese entities.
Inclusion does not imply an urgent restrictions, but it may put pressure on the US Treasury Department to impose sanctions on the businesses.
Google and CATL have denied working with the Chinese defense, while Beijing defended the move as “unreasonable suppression of Taiwanese companies.”
The Department of Defense’s ( DOD ) list of Chinese military companies, which is formally known as the Section 1260H list, is updated annually and now includes 134 firms.
It is a piece of Washington’s strategy to counteract what it perceives as Beijing’s efforts to increase its military might through the use of technologies from Chinese businesses, institutions, and study programs.
Tencent, the owner of the messaging app WeChat, responded to the most recent statement by saying its participation on the list was” evidently a mistake.”
” We are certainly a military firm or vendor. Unlike restrictions or export controls, this list has no effect on our company”, it said in a speech to Reuters news company.
The title was also called a mistake by CATL, who added that it “is never engaged in any military-related activities.”
According to Liu Pengyu, a representative for the Chinese embassy in Washington,” the US’s techniques violate the business competitors principles and global economic and trade guidelines that it has always advocated. They also undermine the confidence of foreign businesses in investing and operating in the United States.”
US lawmakers had pressed the Pentagon to include some of the businesses, including CATL, to the list.
Ford, a US manufacturer of automobiles, announced it would invest$ 2 billion ( 1. 6 billion ) to build a battery plant in Michigan as a result of this pressure. It has stated that it intends to use systems licensing from CATL.
A BBC request for comment was not instantly addressed by Ford.
The news comes as tensions exist between the country’s two largest markets.
However, President-elect Donald Trump, who has recently taken a strong stance against Beijing, is due to returning to the White House this quarter.
DJI, a aircraft manufacturer, and Hesai Technologies, a Lidar-maker, sued the Pentagon for being on the roster last season. Both of them are still listed as updated.