Alibaba sues US military over labelling it a ‘Chinese military company’

Alibaba Group filed a lawsuit against the U.S. Department of Defense on December 21, 2020, challenging its designation as a "Chinese Military Company." The e-commerce giant asserts that the claims of affiliation with the Chinese military have "no basis in fact or law." Alibaba argues that it is a private enterprise and has never been owned or controlled by the People's Liberation Army or any other Chinese military entity. The company stated that its inclusion on the Pentagon's list, which prohibits U.S. investors from holding securities in designated companies, would cause irreparable harm to its reputation and business operations. This legal action followed the U.S. government's efforts to identify and sanction Chinese companies it deemed to be supporting Beijing's military modernization efforts. Alibaba's lawsuit seeks to have the designation removed and to prevent further actions based on this classification. The company emphasized its commitment to operating as a global business with a focus on serving consumers and businesses worldwide.