President Donald Trump late Tuesday signed an executive order that bans transactions with eight Chinese connected software applications, including Ant Group’s Alipay.
The order released by the White House bans transactions with people that develop or control Alipay, CamScanner, QQ Wallet, SHAREit, Tencent QQ, VMate, WeChat Pay, and WPS Office, as well as with their subsidiaries.
Trump said in the order that additional steps must be taken to protect U.S. national security in the face of the “pace and pervasiveness” of the spread of certain software applications in the United States, developed or controlled by people in China, including Hong Kong and Macau, which “continue to threaten the national security, foreign policy, and economy of the United States.”
“This data collection threatens to provide the Government of the People’s Republic of China (PRC) and the Chinese Communist Party (CCP) with access to Americans’ personal and proprietary information—which would permit China to track the locations of Federal employees and contractors, and build dossiers of personal information.”
The order says the Commerce Department must within 45 days identify the prohibited transactions involving the eight Chinese applications, including payment services, and identify and take action against other software applications, as well as develop regulations and policies to prevent the export or access of user data to foreign adversaries.
He added that he has directed his department to start implementing the directives of the order.
“China’s Military-Civil Fusion strategy explicitly aims to co-opt or coerce civilian enterprises into assisting the People’s Liberation Army. ... President Trump continues to prioritize the safety and security of the United States homeland and the American people,” O'Brien added.
Last month, the Commerce Department added dozens of Chinese companies, including the country’s top chipmaker SMIC and Chinese drone manufacturer SZ DJI Technology Co Ltd, to a trade blacklist.
Also last month, the administration published a list of Chinese and Russian companies with alleged military ties that restrict them from buying a range of U.S. goods and technology.
In November, the administration put on hold an effort to blacklist Ant Group, the Chinese financial technology company affiliated with e-commerce giant Alibaba.