Pentagon Briefly Lists, Then Withdraws, Major Chinese Firms as Military-Linked
Washington D.C. – The Pentagon briefly included several major Chinese companies, including Alibaba, BYD, and Baidu, on a list of firms allegedly supporting China’s military before abruptly withdrawing it. The incident caused market fluctuations and raised questions about the U.S. decision-making process.
- Initial Impact: Alibaba and Baidu shares fell by up to 5% and 4.5%, respectively, in after-hours trading following the initial listing.
- Withdrawal: The Pentagon removed the list from the Federal Register, replacing it with a “withdrawn” notice.
- Responses: Alibaba and Baidu vehemently denied any military affiliations and pledged legal action against misrepresentations.
- Analyst Confusion: The removal of memory chip giants ChangXin and Yangtze Memory further perplexed analysts.
