{"id":2165,"date":"2026-06-17T04:10:39","date_gmt":"2026-06-17T04:10:39","guid":{"rendered":"https:\/\/reliablemovingcrews.com\/?p=2165"},"modified":"2026-06-17T04:10:39","modified_gmt":"2026-06-17T04:10:39","slug":"exclusive-us-holds-off-blacklisting-chinas-deepseek-more-than-100-firms-deemed-security-risks-sources-say","status":"publish","type":"post","link":"https:\/\/reliablemovingcrews.com\/?p=2165","title":{"rendered":"Exclusive: US holds off\u00a0blacklisting China&#8217;s DeepSeek, more than 100 firms deemed security risks, sources say"},"content":{"rendered":"<div>\n<div>\n<div>\n<ul>\n<li>Summary<\/li>\n<li>Companies<\/li>\n<\/ul>\n<\/div>\n<div><\/div>\n<\/div>\n<div>June 16 (Reuters) &#8211; The U.S. has held \u200boff adding China\u2019s AI startup DeepSeek, memory chipmaker CXMT and more than 100 other companies flagged as national security risks to a trade blacklist, according to two people familiar \u200cwith the matter, as the Trump administration tries to avoid escalating tensions with Beijing.<\/div>\n<div>DeepSeek, CXMT and other companies were approved by an interagency committee last year for addition to the Commerce Department&#8217;s Entity List, which is being reported for the first time. Reuters is also exclusively reporting the large number of companies awaiting publication on the list.<\/div>\n<div>DeepSeek, whose low-cost AI model sent shockwaves through the technology world in January 2025, has supported China&#8217;s military and intelligence operations, a senior U.S. State Department official told Reuters last \u200byear, adding that the startup tried to use Southeast Asian shell companies to illegally access advanced U.S. chips.<\/div>\n<div>This year, Anthropic said it identified a campaign by DeepSeek and two other Chinese AI \u200blabs to illicitly extract capabilities from its Claude AI platform to improve their own models, and OpenAI warned lawmakers that DeepSeek also was targeting its models.<\/div>\n<div>ChangXin Memory Technologies, \u2060China&#8217;s top memory chipmaker, was designated as a Chinese military company by the Defense Department under the Biden administration. The Commerce Department considered placing it on its Entity List more than a year ago, Reuters \u200band others reported.<\/div>\n<div>U.S. companies cannot ship goods, software and technology to companies on the list without a license, which is likely to be denied.<\/div>\n<div>DeepSeek and CXMT could not be reached for comment outside normal business hours. \u200bThe Commerce Department&#8217;s Bureau of Industry and Security, which oversees the list, did not directly respond to questions about why updates to the Entity List had not been published since last year, or comment on DeepSeek and CXMT.<\/div>\n<div>The bureau uses &#8220;many policy and enforcement tools, including the Entity List &#8230; on a daily basis to ensure we are combating bad actors,&#8221; BIS said in a statement.<\/div>\n<h2>TENSE RIVALRY<\/h2>\n<div>The United States and China are locked in a tense rivalry over technology, trade and national security, with Washington \u200busing tariffs and export controls to keep Beijing at bay while China maintains a stranglehold on rare earth minerals that defense, auto and chipmaking firms need.<\/div>\n<div>The U.S. has not posted any additions to its Entity \u200bList since October, the longest stretch between new postings in more than a decade, said Philip Luck, who studies global supply chains at the Washington-based Center for Strategic and International Studies.<\/div>\n<div>&#8220;The Entity List is like whack-a-mole and you&#8217;ve got to \u200ckeep whacking \u2060the moles,&#8221; Luck said, referring to an arcade game.<\/div>\n<div>The lack of new listings is likely allowing American technology to reach adversaries who could use it against the U.S., he added.<\/div>\n<div>&#8220;The fact the U.S. hasn&#8217;t put any companies on the Entity List since October demonstrates that trade policy is overshadowing the use of a critical national security tool,&#8221; said Kevin Kurland, a former Commerce Department official.<\/div>\n<div>Multiple Chinese companies were slated for the list for supplying Russian drones that were recovered in Poland last September, one of the people said. Listing those lesser-known companies is even more important to U.S. suppliers who may not know the nature of their business, the person \u200bsaid.<\/div>\n<div>Dozens of other Chinese companies were identified last year \u200bas national security risks for selling restricted Nvidia (NVDA.O)<svg><\/svg><span>, opens new tab<\/span> \u2060chips to Chinese universities, but were not added to the list, a third source said.<\/div>\n<div>Chinese companies that make and sell drones and robot dogs for the country&#8217;s military were also selected as potential targets, according to the third person.<\/div>\n<div>Since late 2025, Jeffrey Kessler, under secretary of commerce for industry and security, has sought to \u200bavoid listing Chinese parties for fear of escalating tensions between the U.S. and China, according to the first source and other people familiar with the \u200bmatter.<\/div>\n<div>The dearth of listings offers \u2060a window into what many see as a larger problem at the Bureau of Industry and Security under the second Trump administration \u2014 an inability to act or issue new rules to combat threats that can be reduced by restricting exports. Early last year, for instance, the bureau said it would replace a regulation created under former President Joe Biden to govern global access to U.S.-origin AI chips. But it has still not published a replacement, and is not enforcing \u2060the earlier rule, opening \u200ba potential loophole that may have allowed the chips to be exported to Chinese companies outside China.<\/div>\n<div>Decisions regarding whether to add \u200ban entity to the list are made by an interagency committee, which includes officials from the departments of Commerce, Defense, Energy, State and sometimes Treasury. But the first two sources said the committee has approved companies for the list and Commerce has not published \u200bthem.<\/div>\n<div>At least 75 Chinese entities in advanced semiconductor production, semiconductor manufacturing equipment production and AI modeling have gone through the committee and were slated for blacklisting, one of the sources said.<\/div>\n<\/div>\n<p>Read more <a href=\"https:\/\/reliablemovingcrews.com\/?p=2163\">As chair, Warsh finally has a chance to put stamp on Fed balance sheet<\/a><\/p>\n<p>Read more <a href=\"https:\/\/reliablemovingcrews.com\/?p=2161\">Renault teams up with Thales to boost France\u2019s drone production<\/a><\/p>\n<p>Read more <a href=\"https:\/\/reliablemovingcrews.com\/?p=2159\">Crews battle algae bloom in Washington\u2019s newly repainted Reflecting Pool<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The U.S. has held \u200boff adding China\u2019s AI startup DeepSeek, memory chipmaker CXMT and more than 100 other companies flagged as national security risks to a trade blacklist, according to two people familiar \u200cwith the matter, as the Trump administration tries to avoid escalating tensions with Beijing.<\/p>\n","protected":false},"author":1,"featured_media":2164,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[8,24],"class_list":["post-2165","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-china","tag-data-privacy"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - 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