London Daily

Focus on the big picture.
Tuesday, Nov 04, 2025

US adds nine Chinese firms, including Xiaomi, to military blacklist

US adds nine Chinese firms, including Xiaomi, to military blacklist

The Defence Department added nine more firms on Thursday to its list of companies that it says have ties with the Chinese military.

The Trump administration stepped up efforts in its final days to crack down on China with new additions to a military blacklist, new sanctions aimed at pushing back on Beijing’s claims in the South China Sea and the addition of another Chinese corporate behemoth to its exports blacklist.

The Defence Department added nine more firms on Thursday to its list of companies that it says have ties with the Chinese military, rounding out the total to 44.

The firms include smartphone manufacturer Xiaomi and the state-owned plane maker Commercial Aircraft Corporation of China (Comac), central to China’s goal of creating a narrow-body plane that can compete with Boeing and Airbus.

The Trump administration is unlikely to add more companies to its blacklist, said Keith Krach, undersecretary for economic growth, energy and environment in a briefing with reporters.


An ARJ21 aircraft of One Two Three Airlines (OTT Airlines) heads for a designated area before performing its first flight at Shanghai Hongqiao International Airport in Shanghai, east China on December 28, 2020. The ARJ21 is manufactured by the Commercial Aircraft Corporation of China (Comac).


Krach pointed out that Chinese tech giants Alibaba, Tencent and Baidu are “highly strategic” to the Chinese military. On Wednesday, sources said the Trump administration scrapped plans to blacklist Alibaba, Tencent and Baidu.

The Commerce Department on Thursday also added Chinese National Overseas Oil Corporation (CNOOC) to a US economic blacklist, saying it had helped China intimidate neighbours in the South China Sea. The department designated Skyrizon as a Chinese military end-user list for “its capability to develop, produce or maintain military items, such as military aircraft engines”.

“China’s reckless and belligerent actions in the South China Sea and its aggressive push to acquire sensitive intellectual property and technology for its militarisation efforts are a threat to US national security and the security of the international community,” Commerce Secretary Wilbur Ross said in a statement on Thursday.

Also referencing CNOOC, US Secretary of State Mike Pompeo announced visa restrictions on individuals, including “executives of state-owned enterprises and officials of the Chinese Communist Party and People’s Liberation Army (PLA) Navy, responsible for, or complicit in, either the large-scale reclamation, construction, or militarisation of disputed outposts” in the South China Sea.


Commerce Department on Thursday added Chinese National Overseas Oil Corporation to a US economic blacklist.


The edict, which builds on sanctions announced in August against Chinese companies involved in Beijing’s “militarisation” of outposts in the South China Sea, also targets those involved in “coercion against Southeast Asian claimants to inhibit their access to offshore resources in the South China Sea”, according to the announcement.

“The United States and all law-abiding nations share a deep interest in the preservation of a free and open South China Sea,” Pompeo said. “All nations, regardless of military and economic power, should be free to enjoy the rights and freedoms guaranteed to them under international law, as reflected in the 1982 Law of the Sea Convention, without fear of coercion.”

A Hague tribunal in 2016 ruled that Beijing’s claims to much of the waters in the South China Sea had no legal basis and violated the 1982 international convention.

“The United States stands with Southeast Asian claimant states seeking to defend their sovereign rights and interests, consistent with international law. We will continue to act until we see Beijing cease its coercive behaviour in the South China Sea,” Pompeo said in Thursday’s statement.

In August, the Commerce Department added 24 Chinese state-owned firms, including China Communications Construction Company Dredging Group Company (CCCC Dredging) to an “entity list” of companies that US firms are not allowed to transact with unless they have a special licence to do so.

Satellite images analysed by defence consultancy IHS Jane’s in 2016 showed that a subsidiary of CCCC Dredging operated most of the giant barges digging sand from the seabed and piling it on remote coral atolls in the South China Sea, including Mischief Reef, Subi Reef and Fiery Cross Reef, which are also claimed by the Philippines and Vietnam.

The administration has ratcheted up tension with China as president Trump’s term enters a final week, moving to expand on policies against China to address Washington’s heightened concerns over China’s advancements in tech and military and the threats they may pose on American national security.

One narrative is that the administration’s rush to announce these last-minute measures is a way to make unwinding of the policy difficult for the Joe Biden administration.

But Biden also has South China Sea and Xinjiang forced labour concerns, issues that were touched upon by these measures, said at least one analyst.

“Biden is likely to take enforcement of measures against forced labour even further,” said Andrew Bishop, global head of policy research at advisory firm Signum Global Advisors.

“However, Biden will be quite generous with issuing individual licences to exporters who may need to continue working with companies, like CNOOC,” said Bishop.

And the forced divestments of companies that Washington says have ties to the Chinese military “could be postponed possibly indefinitely” under Biden, said Bishop.

In a development of the trading bans on firms that Washington considers military companies, Trump late Wednesday signed a new executive order in an effort to clarify how US investors should divest their holdings in blacklisted Chinese firms after an initial order caused confusion in the markets.

The clarifications came after Wall Street struggled to follow the initial executive order signed by Trump on November 12. The president’s initial order, which remains in effect, indicated that new purchases in affected companies would be banned starting January 11.

It is unclear whether the new clarification will resolve the wave of questions that financial companies have raised in the past weeks over how to comply with the order.

The current blacklist includes Huawei Technologies Co., China Railway Construction Corporation and Hangzhou Hikvision Digital Technology.

The amended order also stressed that the rules apply to any subsidiary of these Chinese companies unless the Treasury Secretary removes a particular subsidiary from the list.

The New York Stock Exchange a week ago made two reversals on its plan to delist subsidiaries of three Chinese telecommunications carriers – China Mobile
, China Telecom and China Unicom (Hong Kong) – as it sought for clarity whether subsidiaries of the blacklisted companies were affected.

Shares of these three companies gyrated as Wall Street struggled to follow the initial rules that were unclear on whether subsidiaries were included.

Causing confusion was a Treasury Department statement on December 28 that narrowed the definition of the affected entities to exclude subsidiaries unless specifically included by the agency, contradicting the language in the initial executive order.

Newsletter

Related Articles

0:00
0:00
Close
HII Welcomes UK’s Westley Group to Strengthen AUKUS Submarine Supply Chain
Tragedy in Serbia: Coach Mladen Žižović Collapses During Match and Dies at 44
Diplo Says He Dated Katy Perry — and Justin Trudeau
Dick Cheney, Former U.S. Vice President, Dies at 84
Trump Calls Title Removal of Andrew ‘Tragic Situation’ Amid Royal Fallout
UK Bonds Rally as Chancellor Reeves Briefs Markets Ahead of November Budget
UK Report Backs Generational Smoking Ban Ahead of Tobacco & Vapes Bill Review
UK’s Domino’s Pizza Group Reports Modest Like-for-Like Sales Growth in Q3
UK Supplies Additional Storm Shadow Missiles to Ukraine as Trump Alleges Russian Underground Nuclear Tests
High-Profile Broodmare Puca Sells for Five Million Dollars at Fasig-Tipton ‘Night of the Stars’
Wilt Chamberlain’s One-of-a-Kind ‘Searcher 1’ Supercar Heads to Auction
Erling Haaland’s Remarkable Run: 13 Premier League Goals in 10 Matches and Eyes on History
UK Labour Peer Warns of Emerging ‘Constituency for Hating Jews’ in Britain
UK Home Secretary Admits Loss of Border Control, Warns Public Trust at Risk
President Trump Expresses Sympathy for UK Royal Family After Title Stripping of Prince Andrew
Former Prince Andrew to Lose His Last Military Title as King Charles Moves to End His Public Role
King Charles Relocates Andrew to Sandringham Estate and Strips Titles Amid Epstein Fallout
Two Arrested After Mass Stabbing on UK Train Leaves Ten Hospitalised
Glamour UK Says ‘Stay Mad Jo x’ After Really Big Rowling Backlash
Former Prince Prince Andrew Faces Possible U.S. Congressional Appearance Over Jeffrey Epstein Inquiry
UK Faces £20 Billion Productivity Shortfall as Brexit’s Impact Deepens
UK Chancellor Rachel Reeves Eyes New Council-Tax Bands for High-Value Homes
UK Braces for Major Storm with Snow, Heavy Rain and Winds as High as 769 Miles Wide
U.S. Secures Key Southeast Asia Agreements to Reshape Rare Earth Supply Chains
US and China Agree One-Year Trade Truce After Trump-Xi Talks
BYD Profit Falls 33 % as Chinese EV Maker Doubles Down on Overseas Markets
US Philanthropists Shift Hundreds of Millions to UK to Evade Regulatory Uncertainty in Trump Era
Israeli Energy Minister Delays $35 Billion Gas Export Agreement with Egypt
King Charles Strips Prince Andrew of Titles and Royal Residence
Trump–Putin Budapest Summit Cancelled After Moscow Memo Raises Conditions for Ukraine Talks
Amazon Shares Soar 11% as Cloud Business Hits Fastest Growth Since 2022
Credit Markets Flooded with More Than $200 Billion of AI-Linked Debt Issuance
U.S. Treasury Secretary Scott Bessent Says China Made 'a Real Mistake' by Threatening Rare-Earth Exports
Report Claims Nearly Two Billion Dollars in Foreign Charity Funds Flowed into U.S. Advocacy Groups
White House Refutes Reports That US Targeting Military Sites in Venezuela
Meta Seeks Dismissal of Strike 3’s $350 Million Copyright Lawsuit
Apple Exceeds Forecasts With $102.5 Billion Q3 Revenue Despite iPhone Miss
Israel's IDF Major General Yifat Tomer-Yerushalmi Admits to Act Amounting to Aiding Hamas During Wartime (Treason)
Shawbrook IPO Marks London’s Biggest UK Listing in Two Years
UK Government Split Over Backing Brazil’s $125 Billion Tropical Forest Fund Ahead of COP30
J.K. Rowling Condemns Glamour UK Feature of Nine Trans Women as 'Men Better at Being Women'
King Charles III Removes Prince Andrew’s Titles and Orders His Departure from Royal Lodge
UK Finance Minister Reeves Releases Email Correspondence to Clarify Rental-Licence Breach
UK and Vietnam Sign Landmark Migration Deal to Fast-Track Returns of Irregular Arrivals
UK Drug-Pricing Overhaul Essential for Life-Sciences Ambition, Says GSK Chief
Princesses Beatrice and Eugenie Temporarily Leave the UK Amid Their Parents’ Royal Fallout
UK Weighs Early End to Oil and Gas Windfall Tax as Reeves Seeks Investment Commitments
UK Retail Inflation Slows as Shop Prices Fall for First Time Since Spring
Next Raises Full-Year Profit Guidance After Strong Third-Quarter Performance
Reform UK’s Lee Anderson Admits to 'Gaming' Benefits System While Advocating Crackdown
×