Baidu: Firmly opposes being placed on the list and believes there is no credible basis for its inclusion
Baidu Inc. has firmly rejected recent allegations that it could be added to the U.S. Pentagon’s Section 1260H List, which identifies companies allegedly supporting the Chinese military. In a statement to the Global Times, the company called the suggestion “entirely baseless” and emphasized that no credible evidence supports inclusion. Baidu reiterated that its products and services are designed for civilian use and that the company has no military connections.
The potential inclusion of Baidu, along with Alibaba Group and BYD Co., was recommended by U.S. Deputy Defense Secretary Stephen Feinberg in a letter to Congress in October 2025, citing concerns over military ties. However, Baidu stated that being listed would have no material impact on its business, as it does not supply products or services to the U.S. military. The company also indicated it would pursue all available legal options to challenge its inclusion, should it be formally listed.
The Pentagon’s 1260H List, established under U.S. law, serves as a warning to investors rather than imposing direct legal restrictions. Nevertheless, inclusion can lead to reputational damage and market uncertainty. Chinese experts have criticized the move as an example of Washington’s increasing tendency to politicize economic issues, which risks undermining global supply chains and WTO principles.
This is not the first time U.S. authorities have sought to label Chinese firms as military-linked. In January 2026, similar actions led to stock selloffs for companies like Tencent and Contemporary Amperex Technology Co. Analysts warn that such measures could disrupt global business operations and exacerbate geopolitical tensions.
Baidu’s response reflects a broader pattern among Chinese firms facing U.S. scrutiny. Alibaba Group, for instance, also denied any military ties and stated that being listed would not affect its global operations. Chinese government officials have condemned the move as an attempt to exaggerate the so-called “China military threat”.
As the U.S. and China continue to navigate complex economic and political dynamics, the inclusion of major Chinese firms on such lists remains a contentious issue with potential implications for global markets.
