On February 7th, lidar manufacturer Hesai Technology (NASDAQ: HSAI) announced that the U.S. Department of Defense released an updated “Chinese Military Companies” list on January 31st, 2024 (Eastern Standard Time), which included Hesai on the list. The company believes that this decision is incorrect, unfair, and lacks basis. In order to protect its reputation, Hesai has decided to sue the U.S. Department of Defense to defend its legitimate rights and interests. Hesai has always adhered to compliance and upheld principles of integrity and legal operation, committed to reducing accidents and saving lives for safer global travel.
According to Reuters, on January 31st, the US government added over ten Chinese chip and artificial intelligence companies to the “Chinese military companies list,” including Hesai Technology and Yangtze Memory. Huawei was also previously included in the list.
The US Department of Defense declared in its statement on the 31st that this move is “aimed at emphasizing and countering China’s military-civil fusion strategy.” This list update was carried out based on Section 1260H of the National Defense Authorization Act for Fiscal Year 2021, with the right to take further measures against these entities being reserved.
According to Reuters, the purpose of the US releasing this latest list is to highlight and restrict Chinese companies that are believed to potentially strengthen China’s military power. Although being included in the list does not result in an immediate ban, the report claims that it may “strike a blow” to the reputation of these companies. This move also serves as a warning to US entities and companies, reminding them to be cautious about engaging with such perceived “risks”. Additionally, it may put pressure on the US Treasury Department to impose sanctions on these enterprises.
In response to this, a spokesperson for the Chinese Embassy in the United States expressed opposition and condemned it as an abuse of national power, which goes against the United States’ claimed commitment to market competition and fair international trade.
According to the information, Hesai Technology is a leading global research and manufacturing company in the field of LiDAR (laser radar). Its products are widely used in various applications such as advanced driver assistance systems (ADAS) for passenger cars and commercial vehicles, autonomous vehicles, unmanned delivery vehicles, AGVs, and other intelligent robots. Hesai integrates the manufacturing process of LiDAR into its research and development design flow to ensure high performance, reliability, and cost-effectiveness while promoting rapid product iteration. With outstanding R&D capabilities and extensive technical accumulation in core areas such as optics, mechanics, electronics, software, etc., Hesai has offices in Shanghai, Silicon Valley, Stuttgart and serves customers from over 40 countries worldwide.
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