US blacklists six Chinese companies for balloon program

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BEIJING (AP) The United States has blacklisted six Chinese companies allegedly associated with Beijing’s aerospace program as part of retaliation for Chinese spy balloons allegedly crossing U.S. airspace. 

Economic restrictions announced on Friday will make it harder for the five companies and research institutes to win American technology exports, following a Biden administration pledge to consider broader efforts to counter China’s surveillance activities.

The move is likely to further escalate the diplomatic confrontation between the United States and China sparked by the balloon that was shot down off the coast of Carolina last weekend. It said it had the ability to collect data, but the Chinese government claims it was a weather ship that veered off course.

The incident prompted Foreign Minister Anthony Brinken to abruptly cancel a high-risk visit to Beijing to defuse tensions.


The U.S. Bureau of Industry and Security said the six entities were being targeted for “their support to China’s military modernization efforts, specifically the People’s Liberation Army’s (PLA) aerospace programs including airships and balloons.”

“The PLA is utilizing High Altitude Balloons (HAB) for intelligence and reconnaissance activities,” it said.

Deputy Secretary of Commerce Don Graves said on Twitter his department “will not hesitate to continue to use” such restrictions and other regulatory and enforcement tools “to protect U.S. national security and sovereignty.”

The six entities are Beijing Nanjiang Aerospace Technology Co., China Electronics Technology Group Corporation 48th Research Institute, Dongguan Lingkong Remote Sensing Technology Co., Eagles Men Aviation Science and Technology Group Co., Guangzhou Tian-Hai-Xiang Aviation Technology Co., and Shanxi Eagles Men Aviation Science and Technology Group Co.

The research institute did not immediately respond to a request for comment. The other five entities could not be reached.

On Friday, a U.S. military fighter jet shot down an unknown object flying off the remote northern coast of Alaska on orders from President Joe Biden. The object was downed because it reportedly posed a threat to the safety of civilian flights, instead of any knowledge that it was engaged in surveillance. But the two incidents in such a short period of time reflect growing concerns about China’s surveillance program and public pressure to stand firm against Biden.