Alibaba sues Pentagon over blacklist designation
Chinese tech giant Alibaba has filed a federal lawsuit against the Defense Department for designating it a military-linked firm.
TL;DR
- Alibaba filed a federal lawsuit against the Defense Department in San Jose, California.
- The lawsuit contests the Pentagon's decision to designate Alibaba as a military-linked firm.
- Alibaba states the designation is "arbitrary and capricious" and has no basis in fact or law.
- The designation, effective June 30, prohibits the Pentagon from entering new contracts with designated companies.
- The lawsuit also argues the designation violates First Amendment rights by restricting lobbying firm representation.
- Other Chinese companies like BYD and Baidu have also contested their inclusion on the list.
- China retaliated by imposing export controls on ten U.S. companies involved in defense and rare earths mining.
- Alibaba highlights its status as a publicly traded e-commerce and cloud-services provider with significant American institutional shareholders.