The US Defense Department on Thursday blacklisted nine more Chinese companies associated with the Chinese military. It also includes phone maker Xiaomi, allegedly owned or controlled by the Chinese military.
The Department of Defense released a list of these companies to the US Congress in June 2020, a preliminary list of companies that were operated by the Chinese military, while they are companies associated with civilian firms. More companies, including these companies, were added to the list released in December 2020. According to the updated list released on Thursday, there are more than 40 companies that have been blacklisted so far.
The Department of Defense released the names of additional ‘communist Chinese military companies’ which, being amended, operate directly or indirectly in the United States in accordance with the statutory requirement of section 1237 of the National Defense Authorization Act for the fiscal year 1999.
In November last year, President Trump signed an executive order prohibiting Americans from investing in blacklisted firms. According to the order, by 11 November 2021, the owners of the shares of these companies will have to separate from them.
Apart from Xiaomi, additional firms that have been blacklisted include Advanced Micro-Fabrication Equipment Inc. (AMEC), Luokong Technology Corporation (LKCO), Beijing Zhonggungun Development Investment Center, Govin (GOWIN) Semiconductor Corp, Grand China Company (GCAC) , Global Tone Communication Technology (GTCOM), China National Aviation Holding Company Limited (CNAH) and Commercial Aircraft Corporation of China (COMAC).
The US Department of Defense said in its statement that the ‘Department of the People’s Republic of China (PRC) is determined to uncover and counter the military-civilian fusion development strategy, which develops and develops and develops advanced technologies and expertise To support the modernization goals of the People’s Liberation Army (PLA). Even civic institutions appear in those PRC companies, universities and research programs. ‘