China warns US of retaliation over Pentagon blacklist expansion

China issued a sharp rebuke to Washington on Saturday after the Pentagon expanded its list of Chinese companies it says support Beijing's military, warning it would "retaliate resolutely and forcefully" if its firms aren't treated fairly.

The latest list published by the defence department on Monday included some of the most prominent corporate names from China. This included the e-commerce site Alibaba, the search engine company Baidu, and electric car manufacturers BYD and NIO. The Pentagon also included Trina Solar and JA Solar Technology among its ranks.

This is an updated version of a list compiled earlier in 2025 and includes a variety of Chinese technology companies regarded as essential to boosting China’s military and industrial capability.

Beijing's commerce ministry called the move "strongly dissatisfied" and said it "firmly opposes" the listings. In a statement, the ministry urged the US to reverse course, calling on Washington to "immediately withdraw relevant measures" and return to a more stable diplomatic footing.

China's foreign ministry separately voiced concern over the update, adding another layer of official pushback beyond the commerce ministry's statement.

This announcement is made just about a month after US President Donald Trump and his Chinese counterpart Xi Jinping met in Beijing and decided to uphold the tenuous ceasefire in the ongoing trade war between the two countries. China’s commerce ministry said that this move by the Pentagon went against “the consensus” established by both the presidents.

According to the American legislation, getting named in the list will have some serious repercussions. As early as 2027, the Pentagon will not be able to contract these firms directly or purchase anything from them even indirectly through any other company.