According to a Reuters report on June 16, two sources disclosed that the U.S. government has, for the time being, decided against adding more than 100 Chinese companies—identified as potential “national security threats”—to the U.S. Department of Commerce’s foreign trade “Entity List.” This move aims to prevent further escalation of Sino-U.S. trade tensions. Among the companies under consideration are Chinese AI startup DeepSeek and memory chipmaker ChangXin Memory Technologies (CXMT). Notably, the U.S. government has not updated this list since last October. The Bureau of Industry and Security (BIS), a division of the U.S. Department of Commerce, refrained from directly addressing related inquiries. Instead, it reiterated that it employs a range of measures, including the Entity List, to counteract harmful actors. Sources revealed that Jeffrey Kessler, the Under Secretary of Commerce for Industry and Security, has been working to avoid adding Chinese companies to the list since late 2025. Despite an interagency committee’s approval to include a significant number of Chinese companies involved in cutting-edge semiconductor manufacturing, semiconductor equipment production, and AI model development on the list, the U.S. Department of Commerce has yet to proceed with this action.