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BYD Threatens to Sue Trump Administration over Pentagon Military List

The company said it will use legal weapons to challenge the designation, which covers 188 Chinese entities and blocks some U.S. government contracts.

  • On Monday, the Defense Department updated its Section 1260H list, designating BYD and NIO as Chinese military companies; the list now covers 188 Chinese entities, up from roughly 130 last year.
  • The Pentagon claims BYD is directly and indirectly affiliated with SASAC, the institution that manages Chinese state-owned companies, and with China's Ministry of Industry and Information Technology. Beijing policies compel Chinese companies to comply with military demands, which Defense officials cite as justification.
  • Stella Li, BYD's executive vice-president, called the designation a "false claim" aimed at hobbling the company's international success and stated the firm will use every legal "weapon" to fight it, though it will first attempt to talk "very openly, transparently."
  • The designation blocks BYD from securing Defense Department contracts, with the ban on direct contracts taking effect later this month and a separate prohibition on acquiring goods through intermediaries kicking in by June 2027. The practical impact remains minimal, as the automaker does not sell passenger cars in the American market.
  • Critics note the Pentagon has not provided direct evidence for its claims, which often signal threats to investors and pave the way for harsher measures. The pattern mirrors the 2025 designation of CATL, which the Pentagon similarly labeled a "military-civil fusion contributor.
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El PeriódicoEl Periódico
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Center

The Chinese multinational BYD lacks ties with the Army and will take the necessary steps to defend its reputation, have said sources of the world's largest electric car manufacturer after Washington blacklisted it. Donald Trump's movement, president of the United States, reveals the fragility of the commercial truce he made last year in South Korea and renewed the previous month in Beijing with his Chinese counterpart, Xi Jinping.Continue readin…

·Barcelona, Spain
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Lean Left

Nearly 200 companies, including Baidu, the Chinese Google, or the BYD electric car manufacturer, were added to the Pentagon blacklist for their "civil-military fusion" that would benefit the Chinese army. Beijing insurge.

·Paris, France
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Numerama broke the news on Tuesday, June 9, 2026.
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