The US Pentagon added big Chinese firms like Alibaba, Baidu, and BYD to a military-linked list. Other companies from biotech, AI, drone, and semiconductor fields, such as WuXi AppTec and RoboSense Technology, were also named. However, Chinese chip makers Yangtze Memory Technologies and ChangXin Memory Technologies were removed. Soon after, the Pentagon withdrew the document from the Federal Register and gave no further comment. Alibaba said, “There’s no basis to conclude that Alibaba should be placed on the Section 1260H list. Alibaba is not a Chinese military company nor part of any military-civil fusion strategy.” The company plans legal action to remove itself from the list. Baidu also “categorically rejects” the designation and vowed to use all options to get off the list, stating it is a civilian company. The move followed months of planning and pressure from US lawmakers. The timing, just weeks before the Trump-Xi summit, highlights the complex and tense US-China relations around technology and security. Experts say the action shows Washington’s effort to reduce risks and competition with China, while both sides prepare to negotiate. Craig Singleton from the Foundation for Defense of Democracies explained, “The real risk isn’t a single dramatic rupture; it’s whether both sides can keep today’s tactical truce from collapsing under the weight of normal competition layered across technology, security and supply chains.”