China Targets Huntsville Defense Contractor in Growing Trade Spat with U.S.

Teledyne Brown Engineering’s Huntsville headquarters, located in Cummings Research Park, has been named in China’s latest export ban amid escalating U.S.-China trade tensions.

HUNTSVILLE, Ala. — A prominent Alabama defense contractor has landed on China’s new export control list, escalating tensions in an ongoing trade war between the U.S. and China.

Teledyne Brown Engineering, based in Huntsville’s Cummings Research Park, was included in a list of U.S.companies barred from receiving dual-use exports — goods that have both civilian and military applications — China’s Ministry of Commerce announced Wednesday.

The company, which helped develop the Redstone Rocket and has played a major role in U.S. space and missile defense initiatives, was also previously targeted in December by China’s Ministry of Foreign Affairs. At that time, officials accused the firm of involvement in arms sales to Taiwan and threatened to freeze its assets within China.

Teledyne has not publicly responded to the latest restrictions.

The move comes as the Trump administration raises tariffs on Chinese imports to 145%, up from 125% just a day earlier. In retaliation, China announced an 84% tax on all U.S. imports, increasing pressure on American businesses and consumers alike.

More than 15,000 Alabama jobs depend on exports to China, according to the U.S.-China Business Council’s 2024 report. That figure represents 1.6% of the roughly 930,000 American jobs tied to exports to China.

The country remains the third-largest destination for U.S. goods behind Canada and Mexico, with $145 billion in exports in 2023. In Alabama, exports to

China reached $4.1 billion in 2024 — an 11% increase from the prior year — making it a key market for Alabama’s top exports, including automobiles. and agricultural products. Bradley Byrne, president and CEO of the Mobile Chamber of Commerce, said local business leaders are bracing for the impact.

“While there’s a lot of concern, a lot of anxiety, everybody’s sort of waiting to see what exactly is going to happen,” Byrne said.“ But this time, the tariffs are so much bigger.”

He noted that companies relying on Chinese components face the toughest challenges.

“145% tariff — you can’t swallow that cost if you’re an importer,” he said.

Still, some remain optimistic. Dr. George Munchus, a professor of international business at the University of Alabama at Birmingham, said the current trade war could ultimately benefit Alabama.

“There is no reason Alabama cannot double the $3.5 billion invested in 2025 if we are strategic,”Munchus said.

China has been a significant investor in Alabama’s economy. In 2024, it ranked among the top foreign investors in the state. One of its companies, Kaishan Compressor (USA) LLC, expanded its Baldwin County facility last year with a $16.4 million investment and 50 new jobs. Byrne said Mobile-based Continental Aerospace Technologies — owned by a Chinese state-owned firm — is not overly concerned, as it sources most of its parts domestically. “We wake up every day and it’s a new day,” he said. “It’s really hard to make decisions, and it’s

caused a great deal of anxiety for businesses all over the country. But this won’t last forever.”