The updated designation was released weeks after U.S. President Donald Trump met Chinese President Xi Jinping in Beijing, where both leaders sought to maintain dialogue amid ongoing strategic and economic competition. Trump has subsequently invited Xi to visit Washington in September.

The Pentagon’s revised list identifies companies that the United States considers to be Chinese military companies or entities contributing to China’s military modernization efforts. Although inclusion on the list does not automatically trigger sanctions, it is often viewed as a precursor to potential restrictions on investment, procurement or other business activities.

The new version closely resembles a list briefly published and then withdrawn by the Pentagon in February without public explanation. Two memory-chip manufacturers that had been removed from the earlier version were reinstated in Monday’s update.

Those companies are ChangXin Memory Technologies and Yangtze Memory Technologies, both significant players in China’s semiconductor sector.

The revised list also includes several of China’s most prominent technology firms involved in artificial intelligence and digital services. Alibaba, Baidu and Tencent were among the companies identified, although Tencent had already appeared on previous versions of the designation.

Representative John Moolenaar, chairman of the U.S. House Select Committee on China, described the update as a warning to American businesses and government institutions. He urged U.S. companies to avoid commercial relationships that could contribute to China’s military capabilities.

The designations drew swift criticism from affected companies.

Baidu rejected the Pentagon’s assessment, stating that there was no factual basis for classifying the company as a military-linked entity. The company said it would pursue all available options to seek removal from the list.

Alibaba similarly disputed the designation, calling it an error and arguing that the company neither functions as a military enterprise nor participates in China’s military-civil fusion strategy. The company indicated that legal action remained under consideration.

In addition to major technology firms, the Pentagon added pharmaceutical company WuXi AppTec and robotics start-up Unitree, known for developing humanoid robots.

The updated list reflects Washington’s continuing scrutiny of Chinese firms operating in sectors viewed as strategically important, particularly semiconductors, artificial intelligence, advanced manufacturing and emerging technologies. The move comes as U.S.-China competition increasingly extends beyond trade into areas involving national security, technology leadership and military capability.

“Autonomous vehicles must interpret human behavior in real time and operate within complex urban systems, where safety, cost, and public acceptance ultimately determine their viability.”

A trial of a self-driving vehicle in central London is offering an early indication of how autonomous taxis could operate in one of Europe’s most challenging road environments, as companies prepare for commercial deployment under new legislation.

During a demonstration in the King’s Cross area, Alex Kendall, chief executive of Wayve, occupied the driver’s seat of an electric Ford Mustang Mach-E equipped with the company’s system but did not engage any manual controls.

The vehicle independently handled steering, braking, signalling and speed while navigating junctions, traffic flow and pedestrian crossings.The system executed an unprotected turn by waiting for a suitable gap in oncoming traffic before proceeding.

It also responded to a pedestrian approaching a zebra crossing by slowing and stopping before the individual stepped onto the road. Other pedestrians passing nearby without signalling intent to cross did not trigger a stop, reflecting the system’s attempt to interpret behavioural cues.

Kendall said the vehicle makes decisions in real time rather than following pre-programmed instructions. He described the system as capable of interpreting interactions between road users, including gestures and signals, and adjusting accordingly.

In one instance during the test drive, the car responded to another driver flashing headlights by proceeding through a narrow section of road, indicating recognition of informal driving conventions.

The demonstration route included narrow streets, multiple roundabouts and dense traffic conditions, all of which are typical of central London. Kendall did not intervene during the drive, although current regulations require a human operator to remain present in the vehicle.

The trial comes as the United Kingdom advances plans to introduce commercial self-driving taxi services following the passage of the Automated Vehicles Act 2024.

The law provides a framework for approving autonomous vehicles for public use, with government timelines indicating that services could begin operating in major cities by the end of next year.

Wayve is working in partnership with Uber to develop its offering for the UK market. Other companies preparing for entry include Waymo and Baidu, both of which have already deployed robotaxi services in cities such as San Francisco, Los Angeles and Shanghai.

Kendall said London presents a more complex operating environment than those cities due to higher levels of roadworks and a significantly greater presence of cyclists and pedestrians.

He estimated that London has about 20 times more roadworks and roughly 11 times more cyclists and pedestrians than San Francisco, increasing the complexity of real-time decision-making for autonomous systems.

These factors require vehicles to continuously interpret dynamic conditions rather than rely on fixed routes or predictable traffic patterns. The system demonstrated during the trial appeared to manage these variables by adjusting speed and positioning in response to changing surroundings, although its performance was observed over a limited timeframe.

Autonomous taxi operations rely in part on remote support to handle situations that may fall outside routine driving conditions. In a statement, Waymo said it maintains approximately 70 remote assistance agents on duty worldwide for a fleet of around 3,000 vehicles.

These agents provide guidance when requested by the vehicle, which retains the ability to accept or reject the input based on its assessment.Waymo said more complex scenarios, including interactions with emergency responders, are managed by remote personnel based in the United States.

The company did not indicate how frequently such interventions occur but described the system as an additional layer of operational oversight rather than a primary control mechanism.

Wayve and Uber said it was too early to provide details on how remote assistance would be structured in their UK deployment.

Current regulatory requirements mandate the presence of a human safety driver during testing phases, although fully driverless operations are expected to follow regulatory approval.

Industry analysts have noted that remote assistance frameworks will be a key component in scaling autonomous services, particularly in dense urban environments where unpredictable events are more common.

The commercial viability of robotaxi services is expected to depend significantly on pricing relative to existing transport options. An independent report cited in the trial indicated that a Waymo ride in San Francisco costs on average 12.7% more than an Uber trip and 27.3% more than a Lyft journey.

These cost differentials have led some observers to question the competitiveness of autonomous taxis in their current form. Higher operational costs, including technology development and fleet maintenance, may limit price reductions in the near term, although companies have indicated that costs could decline as the technology scales.

Adoption is also likely to depend on public acceptance, particularly in cities such as London where road conditions are complex and interactions between vehicles, cyclists and pedestrians are frequent.

The ability of autonomous systems to operate safely and efficiently in such environments will be a key factor in determining uptake.Kendall said autonomous vehicles are not intended to replace existing modes of transport but to operate alongside them. He noted the continued importance of public transport, cycling and walking in London’s mobility system.

The introduction of robotaxis comes amid ongoing debates about urban transport and the role of private vehicles in city environments.

While autonomous systems may offer improvements in safety and coordination, their broader impact will depend on how they are integrated into existing infrastructure and transport networks.Under current plans, commercial deployment in the United Kingdom is expected to proceed gradually, with regulators and companies monitoring performance and safety before expanding services.