U.S. Department of War Adds Alibaba, BYD, and WuXi AppTec to 1260H List; BIOSECURE Act Clock Starts

On June 8, 2026, the U.S. Department of War (DOW) added 65 entities—comprising 17 parent companies and 48 subsidiaries—to its Section 1260H list of Chinese Military Companies. Notable new additions include Alibaba Group Holding Limited, Baidu, Inc., BYD Company Limited, and WuXi AppTec Co. Ltd., while 10 companies were also removed from the list, including several entities associated with China National Offshore Oil Corp. and COSCO Shipping.

The update designates a wide range of technology, biotechnology, electric vehicle, solar, display, drone and robotics firms. Among the added are Novogene Co. Ltd.; CALB Group, EVE Energy, and NIO in EVs; JA Solar and Trina Solar; Tianma Microelectronics and Zhongji Innolight; as well as Autel Intelligent, Unitree Robotics, and Robosense Technology.

The DOW provided commentary that Alibaba, Baidu, and BYD were designated based on indirect affiliation with China’s State-owned Assets Supervision and Administration Commission (SASAC) and military-civil fusion contributions through projects with the Ministry of Industry and Information Technology. WuXi AppTec is alleged to be indirectly owned by SASAC and affiliated with both the State Administration for Science, Technology and Industry for National Defense (SASTIND) and the People’s Liberation Army—claims the company publicly denies and is challenging through a statutory appeal process.

Inclusion on the 1260H list creates immediate risks for U.S. government contractors and their suppliers. A ban on DOW procuring goods or services from listed companies, even indirectly through third parties, is set to take effect less than a month after the update. Additionally, parties doing business with listed entities face heightened scrutiny under the Export Administration Regulations and an increased likelihood of future designation on the Treasury Department’s Non-SDN Chinese Military-Industrial Complex Companies List, which imposes investment restrictions.

For WuXi AppTec, the 1260H listing triggers a separate set of consequences under the BIOSECURE Act, signed into law on December 18, 2025, as part of the fiscal year 2026 National Defense Authorization Act. The Act prohibits executive agencies from procuring biotechnology equipment or services from, or contracting with entities that use such equipment or services from, a “biotechnology company of concern.” Because the Act treats companies on the 1260H list as potential biotechnology companies of concern, WuXi AppTec’s designation means that U.S. biotechnology and pharmaceutical firms with federal contracts, grants, or loans tied to WuXi AppTec must immediately review their agreements and develop contingency plans. The prohibition applies where a contractor “knows” that its performance will require equipment or services sourced from a listed company, creating a strong incentive for documented supplier verification.

WuXi AppTec has stated it is not a military company and disputes the factual basis for its listing. The company is pursuing reconsideration under the appeal process outlined in the BIOSECURE Act.