Pentagon Adds Cirrus Aircraft to U.S. List of Chinese Military Companies
The designation activates procurement restrictions under the FY2024 defense law that will bar the Pentagon from awarding direct contracts to listed firms starting June 30, 2026.
Overview
- The Department of Defense added Cirrus Design Corporation to its Section 1260H roster on June 8, 2026, listing the Duluth-based maker under its Chinese parent, Aviation Industry Corporation of China (AVIC).
- Cirrus has been majority-owned since 2011 by AVIC’s China Aviation Industry General Aircraft unit in a sale that was cleared at the time by the U.S. foreign investment review committee.
- The 1260H label itself does not impose immediate sanctions but triggers FY2024 NDAA procurement limits that bar direct DoD contracts with listed companies from June 30, 2026 and place limits on indirect procurement from June 30, 2027.
- Cirrus says it operates independently of its shareholders and has limited documented Defense Department work, yet the listing is already creating near-term contract and market uncertainty for its suppliers, customers, and employees.
- A 2025 federal court ruling upholding Pentagon 1260H authority in the DJI case gives the designation practical force and signals greater congressional and regulatory scrutiny of Chinese-linked firms across U.S. aviation supply chains.