China on July 10 accused the United States of misusing its national power by blacklisting more than 60 Chinese companies, including major firms such as Alibaba, Baidu, and BYD. The Chinese embassy in Washington stated that the US had “disregarded the consensus” reached between US President Donald Trump and Chinese leader Xi Jinping during their meeting in Beijing in May.

The embassy further criticized the Trump administration for “excessively expanding the concept of national security, misusing state power and unjustifiably suppressing Chinese enterprises, seriously undermining their legitimate rights and interests.”

Following the Pentagon's designation of these companies as “Chinese military companies operating in the United States” in early June, China responded by announcing export controls against leading US firms.

Sources familiar with the situation told the South China Morning Post that despite these tit-for-tat actions, they are unlikely to adversely affect Xi Jinping’s anticipated visit to the United States in September. Meanwhile, affected Chinese technology companies have initiated legal measures to challenge the Pentagon’s blacklist.

Sources