Duval Times

Washington, D.C. – A group of senators, led by Senator Rick Scott, has raised concerns about NASDAQ's decision to list a Chinese military company, Hesai Technology Co., on its U.S. exchange. In a letter addressed to Adena Friedman, Chair and Chief Executive Officer of NASDAQ, the senators called for the immediate revocation of Hesai's status as a publicly traded company in the United States.

The senators highlighted the national security risks posed by allowing companies like Hesai to raise capital from U.S. and international investors, which can directly support the People’s Liberation Army (PLA). According to the Department of Defense, Hesai was added to the list of "Chinese Military Companies" operating in the U.S., making it the first and only entity identified as such still trading on a U.S. exchange.

Hesai's manufacturing of LIDAR technology, with applications in critical infrastructure, vehicles, and defense systems, raised concerns about economic and national security risks. The Congressional Research Service (CRS) identified Hesai's ties to the Chinese military apparatus and its intentions to use earnings for acquisitions and research.

Additionally, the U.S.-China Economic and Security Review Commission (USCC) highlighted the risks associated with Chinese companies listed on U.S. exchanges, mentioning Hesai's potential support for activities contrary to U.S. national interests.

In light of reports from the Department of Defense, CRS, USCC, and the U.S. Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency (CISA) regarding national security threats, the senators urged NASDAQ to remove Hesai from its listing on the exchange.

The call to action comes amidst growing concerns about Chinese state-sponsored cyberattacks targeting U.S. critical infrastructure, further emphasizing the need to address national and economic security threats promptly.

The letter signed by Senators Rick Scott, Bob Casey, Josh Hawley, and Marco Rubio underscores the importance of safeguarding U.S. interests and preventing investments that could support activities against national security objectives.