Alibaba shares fell as much as 5% during trading on Friday, February 13, 2026.
The decline followed a brief U.S. Pentagon report adding the company to a list of firms allegedly supporting the Chinese military. Two sources familiar with the matter initially suggested the designation would occur as early as Friday.
The Pentagon retracted the updated list shortly after publication. Officials stated the department had nothing to announce at this time, leaving the status of the designation unclear.
The incident underscores ongoing geopolitical risks and regulatory pressures facing Chinese technology companies in international markets.