The U.S. Defense Department has added major Chinese technology companies including gaming and technology company Tencent, artificial intelligence firm SenseTime and the world’s biggest battery maker CATL to its list of companies it says have ties to China’s military.

The U.S. Defense Department has updated its list of Chinese companies allegedly linked to the People's Liberation Army (PLA). The most notable new names on the list are memory maker Changxin Memory Technologies (CXMT), battery maker CATL, and cloud and gaming giant Tencent, reports Nikkei.

A key partner for Elon Musk’s Tesla is threatening to sue the U.S. government over the Pentagon’s decision to blacklist it from federal contracts, blasting it as a “mistake.”

The Pentagon recently added Tesla’s battery suppliers, Contemporary Amperex Technology, and Tencent to its list of companies with ties to the Chinese military. While the designation has minimal direct business impact,

The U.S. blocked CATL, citing military ties, impacting its market share and IPO plans amid concerns over its EV battery dominance.

The addition of Contemporary Amperex Technology Co., Limited (CATL) to a Chinese military-linked entities list has thrust Tesla’s reliance on the Chinese battery giant into the spotlight. While the designation currently imposes no direct sanctions,