Pentagon Names 20 ‘Communist Chinese Military Companies’ Doing Business in America; CPDC Urges That Stops Now

Pentagon Names 20 ‘Communist Chinese Military Companies’ Doing Business in America; CPDC Urges That Stops Now

In Letter to President Trump, Warns of Risks to National Security and Investors

June 25, 2020

WASHINGTON, D.C.— For 21 years, the Department of Defense has ignored a statutory requirement to disclose the presence inside the United States of companies tied directly or indirectly to the Chinese Communist Party’s People’s Liberation Army. Now we know why: For two decades, more than a score of the preeminent elements of the PRC’s military-industrial complex—and the top enablers of its huge military build-up—have been allowed to do business in this country with impunity. This must stop.

In a letter to President Trump today, the Chairman of the Committee on the Present Danger: China (CPDC), Brian T. Kennedy thanked POTUS for the Administration’s very welcome and illuminating compliance with the law. He also asked pointed questions about what such corporations have been able to do, thanks to such extraordinary access to our economy, technology and capital markets, including:

“Why would we allow companies that are “directly or indirectly” part of our enemy’s military-industrial complex to have any presence in this country? And what exactly is the extent of that presence and what work do they perform here? With which U.S. companies do they interact and for what purpose? What subsidiaries do the CCP companies have here? Is there evidence that the PLA corporations operating inside the U.S. have been involved in espionage and/or the theft of intellectual property?  [And], what are the footprints of this first tranche of People’s Liberation Army corporations in the U.S. capital markets?”

The Pentagon’s revelation yesterday adds further urgency to two other, recent CPDC initiatives: First, it recent called on Treasury Secretary Steven Mnuchin to prevent four Chinese telecommunications  companies believed by Senate investigators to have engaged in espionage from inside our own carriers’ infrastructure from doing business here. Two of them were just identified by DoD as PLA companies and all twenty of those so designated should no longer be allowed to operate here. And, second, the CPDC appealed to the U.S. Senate to review carefully the role played by Securities and Exchange Commission Chairman Jay Clayton that has enabled and expanded CCP companies’ ability to tap into trillions of dollars from our capital markets, with a view to halting this practice.


To interview representatives of the Committee on the Present Danger: China, contact, Patrick Benner, 610.584.1096, ext. 104, or Deborah Hamilton, ext. 102.