The Pentagon updated the list on Monday, identifying companies it claims support Beijing’s military development or its “military-civil fusion” strategy.

Firms included on the list are barred from being considered for US defence contracts under rules expected to come into force later this month.

China’s embassy in Washington criticised the move, calling it discriminatory and accusing the US of “overstretching” national security concerns.

It said Chinese companies operating abroad follow local laws and urged the US to stop what it described as unfair treatment.

Alibaba rejected the designation, saying there was no basis for its inclusion and denying any link to military activity.

Baidu also said the claim was baseless and pledged legal action to challenge the decision. BYD did not immediately respond to requests for comment.

The Pentagon said the companies were linked to state bodies, including China’s Ministry of Industry and Information Technology and other government-linked institutions.

It also noted that listed firms have operations in the United States, which is part of the designation criteria.

The expanded list comes shortly after a meeting between US President Donald Trump and Chinese President Xi Jinping aimed at easing trade and technology tensions between the two countries.

US lawmaker John Moolenaar said the move was a warning to companies linked to China’s military ambitions and called for stronger measures, including possible delisting from US exchanges.

Other additions include robotics and AI firms such as RoboSense Technology and Unitree Robotics, along with previously listed firms, including Tencent.

Analysts said the broad scope of the blacklist may limit its practical impact, as many US companies continue commercial ties with the listed firms and may be unlikely to disengage without stricter enforcement.