Chinese Aerospace Firm Banned From PLA Military Procurement for 1 Year Over Bid-Rigging Allegations

Insiders linked the move to a broader PLA anti-corruption push and Rocket Force reshuffle.
Chinese Aerospace Firm Banned From PLA Military Procurement for 1 Year Over Bid-Rigging Allegations
HQ-19 anti-ballistic missiles during a military parade marking the 80th anniversary of victory over Japan and the end of World War II, in Beijing's Tiananmen Square on Sept. 3, 2025. Greg Baker / AFP via Getty Images
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A Chinese state-owned aerospace engineering firm has been barred from participating in military procurement activities for one year over alleged bid-rigging in a case dating back nearly a decade, according to an official notice published this week on China’s military procurement platform.

The announcement, released on May 22 by the People’s Liberation Army (PLA) procurement network, states that China Aerospace Systems Engineering Co. was found to have engaged in “bid rigging” and other violations during a 2017 procurement activity. Starting May 22, the company is prohibited from participating in PLA materials, engineering, and service procurement for one year.