The Trump administration has determined that top Chinese firms, including Huawei and Hikvision, are owned or controlled by the Chinese military which laid the groundwork for new US sanctions, according to a document seen by Reuters.
A US defense official confirmed the authenticity of the document and said it has been sent to Congress. Washington placed Huawei on a trade blacklist last year over national security concerns. This led to an international campaign to convince allies to do the same.
The list of firms also includes China Mobile Communications Group and China Telecommunications Corp and aircraft manufacturer Aviation Industry Corp. The designations were drawn up by the Defense Department.
The designations do not trigger penalties but the President can impose sanctions. The Pentagon has come under pressure from lawmakers of both US political parties to publish the list amid rising tensions between Washington and Beijing over technology, trade and foreign policy.
The White House did not comment on whether it would impose sanctions on the companies on the list. This will likely add to tensions between the two countries.
