US Treasury Department sanctioned eight PRC companies by adding them to its US investment blacklist, including DJI and four PRC video surveillance companies.
Treasury added major AI/facial recognition firms Megvii, Yitu, and Cloudwalk plus VMS provider NetPosa (related,
Crisis At China's Largest VMS Provider, NetPosa, Now State-Controlled) to its list of 'Chinese Military Industrial Complex' companies (NS-CMIC), forcing US investors to divest within 60 days.
IPVM's research was referenced in the sanctions description for Megvii:
One such AI software could recognize persons as being part of the Uyghur ethnic minority and send automated alarms to government authorities.
IPVM's investigation into Huawei / Megvii Uyghur Alarms.
already on the CMIC list. Last week, Treasury added the PRC's largest AI company SenseTime to the CMIC list, delaying its expected Hong Kong IPO.
The sanctions indicate the White House is continuing the Trump administration's tough line on Xinjiang surveillance. The sanctions also increase the risk of DJI being added to the FCC's Covered List, which would severely harm its US sales.