Hikvision Sister Company PRC Balloon Sanctions

Fighter jets have now shot down four objects over the US and Canada in the this month. The US government confirmed one was a PRC spy balloon, though the others are still unconfirmed. The incident(s) have significantly damaged US-China relations, which some predicted would improve in 2023. (See also our analysis of How Surveillance Balloons Work + New Congress Impact on PRC China Relations and the Security Industry)

In response, the US Commerce Department is announcing sanctions on six PRC entities allegedly involved in the balloons, including the China Electronics Technology Group Corporation (CETC)'s 48th Research Institute. The CETC is Hikvision's controlling shareholder, and it founded Hikvision from its 52nd Research Institute. (See: Hikvision PRC Government Owner CETHIK)