The Defense Department has deemed a number of Chonese tech companies as “military” and as such a national security risk. This updates the Section 1260H list of “Chinese military companies” is an important continuing effort in highlighting and countering the PRC’s Military-Civil Fusion strategy. The PRC’s Military-Civil Fusion strategy supports the modernization goals of the People’s Liberation Army (PLA) by ensuring it can acquire advanced technologies and expertise developed by PRC companies, universities, and research programs that appear to be civilian entities. Section 1260H directs the Department to begin identifying, among other things, Military-Civil Fusion contributors operating directly or indirectly in the United States.
More than a dozen Chinese tech firms, including memory-chip maker Yangtze Memory Technologies Corp (YMTC), as “military companies” that pose a national security risk to the US. Here is a list:https://media.defense.gov/2024/Jan/31/2003384819/-1/-1/0/1260H-LIST.PDF
Artificial intelligence companies Yitu Technology and Beijing Megvii, drone maker Chengdu JOUAV, lidar maker Hesai Technology and tech company NetPosa are also entities that operate in the United States but have ties to the Chinese military, according to the US Defence Department.
Shenzhen-based consumer drone maker DJI Technology and China’s leading genetics firm, BGI, on what is called the 1260H list, which makes US and international companies aware of entities that could be supporting Beijing’s military-industrial complex.
First established under the National Defence Authorisation Act for fiscal year 2021, the 1260H list is updated annually by the Defence Department.
A US House panel says Quectel should be listed as a Chinese military company, subjecting it to investment restrictions. Photo: Handout alt=A US House panel says Quectel should be listed as a Chinese military company, subjecting it to investment restrictions.
Jeffrey Newman is a whistleblower lawyer and his firm represents whistleblowers in healthcare fraud under the False Claims Act (FCA) also whistleblowers under the SEC whistleblower program and CFTC whistleblower program. He can be reached at Jeff@JeffNewmanLaw.com or at 617-823-3217
