BYD, the largest manufacturer of new energy vehicles, has spoken out against the US Department of Defense's decision to include the company on a list of organizations that, according to Washington, are linked to China's military sector. A similar situation affected another automaker, Nio, which, according to foreign media, is exploring the possibility of legally challenging this status.
The updated Pentagon list was published on June 8. It included BYD, Nio, as well as tech giants Alibaba and Baidu. Inclusion on the list does not mean immediate sanctions, but in the near future, US agencies will not be able to directly enter into contracts with such companies, and from 2027, restrictions will also apply to purchases through intermediaries.
BYD stated that it considers the decision unfounded and intends to use all available administrative and legal mechanisms to protect its interests. The company emphasizes that its activities are focused on the development of batteries, hybrid and electric vehicles, as well as civilian transport technologies.
The situation is noteworthy because BYD is currently the world's largest manufacturer of new energy vehicles and is actively expanding its presence outside of China. Therefore, even the absence of direct sanctions could affect the brand's reputation and its future plans in international markets.
For the automotive industry, this is another signal that competition is increasingly moving beyond technology and vehicle cost. Now, the development of global brands can be influenced not only by battery or software characteristics, but also by regulatory decisions of the world's largest markets.
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