China orders domestic companies to stop using US cybersecurity software: report

Chinese authorities have reportedly instructed domestic companies to halt the use of cybersecurity software from over a dozen U.S. and Israeli firms, citing national security concerns.

Beijing officials warned that the software could collect sensitive data and transmit it overseas, Reuters reported, citing three sources familiar with the matter.

The directive targets American companies including VMware, Palo Alto Networks and Fortinet, along with Israeli companies such as Check Point Software Technologies, two sources told Reuters.

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U.S. and China flag

The flags of the U.S. and China fly from a lamppost in the Chinatown neighborhood of Boston Nov. 1, 2021. (Brian Snyder/File photo/Reuters)

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A third source said the software of Mandiant and Wiz, owned by Alphabet, was banned, in addition to U.S. companies CrowdStrike, SentinelOne, Recorded Future, McAfee, Claroty and Rapid7, according to Reuters.

Israeli cybersecurity company CyberArk was also included, along with fellow Israeli firms Orca Security and Cato Networks. Imperva, owned by French defense company Thales, was also on the list, Reuters reported.

Alphabet logo

In this photo illustration, an Alphabet logo is displayed on the screen of a smartphone. (Sheldon Cooper/SOPA Images/LightRocket via Getty Images)

As China and the West continue to clash over Beijing’s push to expand its chip and AI industries, China has been keen on replacing Western-made technology with its own alternatives.

The U.S. and China are also preparing for a visit by President Donald Trump to Beijing in April, according to Reuters.

Earlier this week, the Trump administration formally approved Nvidia exports, allowing the tech giant to ship its artificial intelligence chips to China and other countries.

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Donald Trump stands next to Xi Jinping

President Donald Trump and Chinese President Xi Jinping stand next to each other during a meeting at Gimhae International Airport on the sidelines of the Asia-Pacific Economic Cooperation summit in Busan, South Korea, Oct. 30, 2025. (Evelyn Hockstein/Reuters)

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In a new rule set to be published Jan. 15, the Commerce Department is easing U.S. export restrictions on China for Nvidia’s H200 chip, a move President Donald Trump announced last month.

“We applaud President Trump’s decision to allow America’s chip industry to compete to support high-paying jobs and manufacturing in America,” an Nvidia spokesperson told FOX Business in a statement. “Offering H200 to approved commercial customers, vetted by the Department of Commerce, strikes a thoughtful balance that is great for America.”

FOX Business’ Michael Sinkewicz contributed to this report.

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