(PresidentialWire.com)- According to a new report, several major US defense contractors have been linked to the Chinese government.
Three of America’s most well-known defense contractors have ties to Chinese government firms, which critics say pose many national security risks.
According to a Fox News report, Raytheon, Boeing, and Bell Flight “maintain relationships” with Chinese government-linked companies. Doing business with Chinese government-linked entities, according to some consultants, entails a variety of risks.
Isaac Fish, CEO of Strategy Risks, told Fox that doing a significant amount of business in China now changes the risk profile for any US company, whether for compliance, cyber, reputation, security, or other risks.
According to Fish, companies should be aware of the risk of “exposure” to the Chinese Communist Party.
He went on to say that these risks are especially important for companies that protect the national defense and security of the United States. US defense contractors must better understand their risk exposure to China and the Chinese Communist Party to reduce China’s risks and better serve the military and national security needs of the United States.
Raytheon subsidiaries Pratt & Whitney (P&W) and Collins Aerospace Systems have numerous business ventures in China, including several with a state-owned venture affiliated with the People’s Liberation Army.
P&W works with China Aviation Industry Corporation and Xi’an Aircraft, listed on the Treasury Department’s Non-SDN Chinese Military-Industrial Complex Companies List.
This list aims to identify Chinese entities suspected of collaborating with the Chinese military.
Collins Aerospace is also being investigated because of its ties to China. Collins claims on its website that it has been committed to China for 40 years, with nine business enterprises and 15 locations.
A company spox said that their company’s significant investments in China and strong corporate and personal relationships formed over the last three decades had enabled their growing presence in China.
Collins is said to collaborate with China’s Ministry of Industry and Information Technology, AVIC, and China Electronics Technology Company.
Bell Flight and Boeing stated that they have no ties to doing military business with China.
A spokesperson told Fox that Bell does not do any military business in China and remains committed to supporting safe operations for the civilian helicopter communities in China, including corporate, energy, health, and public safety.
Boeing also denied any ties to the Chinese military, stating that it “does not sell Boeing defense platforms to the Chinese military.”
Technically, anything you sell to the “civilian” sector in China can be used by the military.
That is just “wordplay.”