On Wednesday, August 28, Marco Rubio, Vice Chairman of the Senate Intelligence Committee, and John Moolenaar, Chairman of the House Committee on China, jointly wrote to Defense Secretary Austin, urging the Department of Defense to “immediately” add the Chinese battery manufacturer Contemporary Amperex Technology Co. Limited (CATL), which is associated with the Chinese Communist Party, to the 1260H blacklist.
The 1260H list includes Chinese entities operating in the United States with links to the Chinese military or contributing to the Chinese military-civil fusion strategy. Companies on the list are prohibited from receiving US military contracts.
In their letter, Rubio and Moolenaar emphasized that US decision-makers have a responsibility to “firmly oppose” any attempts by US adversaries to threaten US and economic security. By listing CATL on the 1260H list, the Department of Defense can not only protect US military infrastructure from Chinese military threats but also send a strong signal to US companies currently considering partnering with CATL.
The two lawmakers pointed out that CATL’s ambition is to expand America’s dependence on Chinese-controlled energy infrastructure beyond the military scope. CATL seeks to expand its reach by partnering with major US corporations. The company has a official presence in Delaware as confirmed on its website. Despite strong opposition from Congress and stakeholders, Ford Motor Company in Michigan is moving forward with the construction of a factory that will use CATL technology to produce batteries. CATL has also announced plans to develop and deploy a substantial battery storage system in Texas.
The House Committee on China, in response to the lawmakers’ letter to Austin, issued a statement on its website stating that CATL is an electric vehicle battery manufacturer closely associated with the Chinese Communist Party and its armed forces. It is a major contributor to the Chinese military-civil fusion policy aimed at enhancing the capabilities of the Chinese military.
“Relying on CATL batteries jeopardizes US national security as it makes us dependent on China in terms of energy infrastructure,” the statement noted. “The Department of Defense has recognized the threat posed by CATL to our country. However, the Department of Defense has not yet included CATL in the 1260H list. The National Defense Authorization Act for Fiscal Year 2024 prohibits the Department of Defense from entering into contracts with entities on the 1260H list, including CATL.”
Last December, Rubio and nearly 30 bipartisan members of Congress wrote to Austin expressing concerns that the use of Chinese equipment in US military facilities could pose national security risks. The lawmakers urged the Department of Defense to immediately retract the decision to install CATL batteries at Camp Lejeune, a US Marine Corps base, and conduct a comprehensive assessment of all military facilities. The lawmakers stressed that companies funded and supported by China should not be present in or play a role in US military facilities, especially in facilities training the US military on potential conflicts with China.
Following the lawmakers’ concerns, the Department of Defense removed CATL batteries from Camp Lejeune.