The Pentagon released a list of 20 companies that it claims are owned or controlled by the Chinese Communist Army and operate in the US. The US, including tech giant Huawei, according to a report.
The list, sent to lawmakers in a letter dated June 24, includes “entities that are owned, controlled or affiliated with China’s government, military or defense industry,” Pentagon spokesman Jonathan Hoffman said in a statement, Bloomberg News reported.
“As the People’s Republic of China tries to blur the lines between the civilian and military sectors, ‘knowing your provider’ is critical,” said Hoffman. “We envision that this list will be a useful tool for the US government, companies, investors, academic institutions, and related partners to carry out due diligence regarding partnerships with these entities, particularly as the list grow up. “
The list of companies linked to the People’s Liberation Army was ordered under the Defense Authorization Act of 1999, but this is the first administration to publish the report.
It could expose companies to financial penalties.
The publication of the list comes at a time of mounting tensions between Washington and Beijing over the spread of the coronavirus, trade problems, and China’s move to quell protests in Hong Kong.
“The list released today by the Pentagon is a start but woefully inadequate to warn the American people of state-run and targeted companies that support the activities of the Chinese government and the Communist Party that threaten the economic and national security of the United States,” he said. Senator Marco Rubio. , a Florida Republican, said in a statement.
“The list only touches the surface of the Chinese government’s exploitation of the US capital markets at the expense of retail investors and pensioners by omitting the networks of affiliated companies and subsidiaries,” he said.
Hangzhou Hikvision Digital Technology Co., a maker of video surveillance equipment, called the Pentagon’s actions “unfounded” and said it is an “independently operated company”.
He said he would work with the United States government to “correct misunderstandings about the company.”
Bloomberg said requests for comment to China’s foreign and defense ministries were not immediately answered.
The country celebrates the national holiday of the Dragon Boat Festival.
The companies on the list include:
- China Aviation Industry Corporation
- China Aerospace Science and Technology Corporation
- China Aerospace Science and Industry Corporation
- China Electronic Technology Group Corporation
- South China Industries Group Corporation
- China Shipbuilding Industry Corporation
- China State Shipbuilding Corporation
- North China Industries Group Corporation
- Huawei Technologies Co.
- Hangzhou Hikvision Digital Technology Co.
- Inspur Group
- Aero Engine Corporation of China
- China Railway Construction Corporation
- CRRC Corp.
- Panda Electronics Group
- Dawning Information Industry Co.
- China Mobile Communications Group
- China General Nuclear Power Corp.
- National Nuclear Energy Corporation of China
- China Telecommunications Corp.