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The firms targeted also cover some of the important tech giants of China that are involved in artificial intelligence, including Alibaba, Baidu and Tencent. Meanwhile, in a statement on Chinese social media, Baidu opposed the list and called the accusations "entirely baseless".
Beijing on Tuesday strongly criticised the US' decision to put several Chinese companies on a blacklist, after Washington added tech giants Alibaba and Baidu to a list of entities it alleges have links to China's military. "China has consistently and firmly opposed the United States' generalisation of the concept of national security ... and its unreasonable suppression of Chinese companies," foreign ministry spokesman Lin Jian told a news briefing, urging Washington to "correct its erroneous practices".
The move comes just weeks after US President Donald Trump met Chinese President Xi Jinping in Beijing, where both sides sought to preserve stability in bilateral ties. Trump has also extended an invitation for Xi to visit Washington in September. However, the latest action risks reigniting tensions between the world's two largest economies. The updated list was released by the US Department of Defence months after it had briefly published, and then unexpectedly withdrawn, an earlier version without providing any explanation.
The new list is quite similar to the version momentarily published in February; however, two memory chipmakers were placed on the blacklist after having been omitted from it at the time. The re-added firms include ChangXin Memory Technologies and Yangtze Memory Technologies.
"This updated list of Chinese military companies is a warning to American businesses, all levels of government, and the American people," said Representative John Moolenaar, the Republican chair of the House Select Committee on China. He also urged in a statement for all the US companies to "stop doing business with these threats to our national security" or risk "enabling China's military ascendance".
The firms targeted also cover some of the important tech giants of China that are involved in artificial intelligence, including Alibaba, Baidu and Tencent. Meanwhile, in a statement on Chinese social media, Baidu opposed the list and called the accusations "entirely baseless".
"We categorically reject the inclusion of Baidu on the list, and there is no credible justification for adding Baidu to the list," a spokesperson said. "The suggestion that Baidu is a military company is entirely baseless. We will not hesitate to use all options available to us to have the company removed from the list."
Additionally, Alibaba also called the inclusion in the list "a mistake", threatening legal action. "There is no basis to conclude that Alibaba Group should be placed on the CMC List. Alibaba Group is not a Chinese military company nor part of any military-civil fusion strategy," the company said in a statement.