Certain members of Congress would like the DoD to stop using goods supplied by totalitarian China, especially the sorts of things that help the Chinese Communist Party advance its military–civil fusion strategy.
The CCP-linked, People’s Liberation Army–linked company that U.S. Senator Marco Rubo and U.S. Representative John Moolenaar are asking the Department of Defense to be more wary about is Contemporary Amperex Technology Limited (CATL).
According to their letter to Defense Secretary Lloyd Austin, posted on Rubio’s senate.gov site on August 28, 2024, the department should have already placed CATL on a special alert list:
[T]he criteria for placement on the Section 1260H List stipulate that a company must be actively involved in bolstering Beijing’s military ambitions and contributing to MCF [the Chinese Communist Party’s military–civil fusion strategy]—while also operating in the United States. CATL squarely fits these requirements. Not only has Congress repeatedly exposed CATL’s nefarious activities in the United States, DoD has sounded the alarm on the dangers of CATL operating on military bases, due to the company’s deep ties with the CCP. CATL’s placement on the Section 1260H List is long overdue and justified.
CATL’s connections to the CCP, and its armed wing, the People’s Liberation Army (PLA), are extensive and obvious. A Foundation for Defense of Democracies report revealed that CATL, thanks to preferential treatment by the CCP, has enjoyed “subsidies, tax incentives, favorable procurement deals, and additional policy benefits.” These benefits propelled CATL toward its massive 37.5 percent share of the global electric vehicle battery market, which the company boasted about on X just last month….
CATL’s central role in the CCP’s MCF strategy is further illuminated by the company’s close alignment and partnership with several companies already included on the Section 1260H List. For example, in December 2023, CATL announced a formal partnership with China Mobile, a company identified as a Chinese-military company by the DoD.
We appreciate the DoD’s attention to the dangers of CATL thus far. Earlier this year, the CATL battery installed as part of the BESS system at Camp Lejeune was rightly removed. The Navy has stated it will proactively “procure American or allied-supplied batteries” for its military installations. However, these isolated actions are not sufficient. The DoD must act to ensure that CATL batteries play no role on U.S. military installations.
The purpose of the Section 1260H List is to expose Chinese entities “operating in the U.S. that have ties to the PLA or contribute to the Chinese Communist Party’s Military-Civil Fusion Strategy.”
According to an archived Department of State fact sheet, “Under MCF, the CCP is acquiring the intellectual property, key research, and technological advances of the world’s citizens, researchers, scholars, and private industry in order to advance the CCP’s military aims. The CCP is systematically reorganizing the Chinese science and technology enterprise to ensure that new innovations simultaneously advance economic and military development.”
