U.S. Defense Department Lists Baidu and Nio as Chinese Military Companies
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 day ago
0mins
Catch up on the top industries and stocks that were impacted, or were predicted to be impacted, by the comments, actions and policies of President Donald Trump with this daily recap compiled by The Fly.CHINESE MILITARY COMPANIES:The Pentagon hasseveral of China's largest companies to its list of firms it says support the Chinese military, a move that could heighten tensions with Beijing. The Deputy Secretary of Defense said it has determined that among the entities that qualify for designation as "Chinese military companies, engaged in providing commercial services, manufacturing, producing, or exporting, and operate directly or indirectly in the United States in accordance with section 1260H," are Qihoo 360, Alibaba, Baidu, BYD Company, Hesai Group, Nio, Tencent Holdings, among others.Baidu announced that the U.S. Department of Defense has published a notice, designation of Chinese Military Companies, and pursuant to the Notice, the Deputy Secretary of Defense has included the company on the Department of Defense's list of Chinese Military Companies, or CMC List. The company said as the Company is neither a Chinese military company nor a military-civil fusion contributor to the Chinese defense industrial base, the company believes that there is no justification for the company's inclusion on such list. The CMC List is not a sanctions list. The U.S. government procurement limitations tied to the list will not impact the business of the company, and the CMC List does not restrict transacting in the securities of the company.Nio noted that the U.S. Department of Defense has added the company to its "Chinese military companies" list, or CMC List. The company believes its inclusion on the CMC List is not justified as it is not a Chinese military company or a military-civil fusion contributor to the Chinese defense industrial base. The CMC List is not a sanctions list. The U.S. government procurement limitations tied to the list will not impact the business of the company, and the CMC List does not restrict transacting in the securities of the company. The company said it will proactively engage with the U.S. Department of Defense to correct this inclusion on the CMC List, including taking legal actions if necessary, to protect the interests of the company and its shareholders as a whole.ISRAEL-IRAN TENSION:Israeli Prime Minister Benjamin Netanyahu says Israel is holding fire in Iran for now, but added that he told U.S. President Donald Trump that Israel has a full right to self-defense and that Israel will respond with "great force" if Iran attacks again, according to Bloomberg.
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Analyst Views on BABA
Wall Street analysts forecast BABA stock price to rise
15 Analyst Rating
15 Buy
0 Hold
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Strong Buy
Current: 119.700
Low
180.00
Averages
203.09
High
230.00
Current: 119.700
Low
180.00
Averages
203.09
High
230.00
About BABA
Alibaba Group Holding Ltd is an investment holding company mainly engaged in the provision of technology infrastructure and marketing platforms. The Company operates its business through four segments. The Alibaba China E-commerce Group segment is mainly engaged in E-commerce business, including operating Tmall Supermarket and Tmall Global, providing customer management services, product sales, as well as logistics services. It also operates quick commerce business such as Taobao Instant Commerce and Ele.me, as well as the China commerce wholesale business through 1688.com. The Alibaba International Digital Commerce Group segment is mainly engaged in international commerce retail and wholesale business, operating platforms such as AliExpress, Trendyol, Lazada and Alibaba.com. The Cloud Intelligence Group segment mainly provides public and non-public cloud services. The Other segments primarily include the operations of Freshippo, Cainiao, Alibaba Health and other business.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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