U.S. Defense Department Lists Baidu and Nio as Chinese Military Companies
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.
