Americans are banned to invest in 31 blacklisted Chinese companies as per an order signed by President Trump.
1. President Trump signs order prohibiting Americans to invest in 31 Chinese companies.
2. Giant companies like Huawei, China Telecom, and China Mobile have been blacklisted.
3. The order bans people to even invest in listed Chinese companies’ stocks.
Trump bans Americans to invest in 31 Chinese businesses:
President Donald Trump has signed a govt order banning Americans from making an investment in Chinese corporations that the management says are owned or managed with the aid of using the Chinese army. The order applies to 31 Chinese businesses which say “allow the improvement and modernization” of China’s army and “at once threaten” US security.
Huawei and Hikvision are also placed on the blacklist:
Smartphone maker Huawei and Hikvision, one of the world’s biggest producers and providers of video surveillance equipment, are a number of the blacklisted businesses. Some of the alternative businesses listed, which include China Telecom and China Mobile, alternate at the New York Stock Exchange. Trump’s order bans US buyers from proudly owning or buying and selling any securities that originate or are uncovered to the one’s corporations. This consists of pension finances or proudly owning stocks withinside the businesses which might be banned. Investors may have till November 2021 to divest from the businesses.
Tensions between the US-China have impacted many Chinese tech businesses:
The govt order, set to take impact January 11, comes as alternate and generation battles are heating up among the world’s biggest economies. Many Chinese tech businesses have come below stress for the duration of the Trump management. Over the beyond few years, Washington has taken goal at China’s lofty tech ambitions, hanging blows on the country’s growing synthetic intelligence, semiconductor, and telecommunications industries. China Telecom, Huawei, and China Mobile did now no longer straight away reply to a request for comment.