The U.S. Treasury Department is updating a government list of Chinese companies and entities with alleged ties to defense or surveillance technology sectors, making them subject to a U.S. investment ban.
US President Joe Biden’s stance on Trump’s orders has been closely watched by Wall Street and Congress. Lawmakers from both parties have called for a tough stance against China on issues ranging from trade to human rights.
President Joe Biden signed an order on Thursday to amend the ban on US investment in Chinese companies started by his predecessor, appointing 59 companies connected to the Chinese military or surveillance industry, including Huawei Technologies Co., Ltd. and China’s three major companies. Telecommunications company.
According to a government official who asked not to be named, the new investment ban will take effect in New York at 12:01 am on August 2. Investors will have a year to completely divest themselves.
Joe Biden Announces Ban On U S Investments In 59 Chinese Companies With Either Links To PRC Military Or Selling Surveillance Tech swarajyamag.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from swarajyamag.com Daily Mail and Mail on Sunday newspapers.
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The US government expanded the ban on Americans investing in Chinese companies with purported ties to China’s military to cover companies in the surveillance technology sector, an executive order stated. The blacklist now includes 59 Chinese companies, up from the 48 banned by the previous administration last November.
The new sanctions go into effect on August 2 and Americans already invested in the blacklisted firms, either directly or through other funds, must divest themselves within a year. The US government has also indicated that additional companies may be added to the list in the coming months.
Aimed at surveillance technology firms
Today, President Biden signed an Executive Order (E.O.) to further address the ongoing national emergency declared in E.O. 13959 of November 12, 2020 with respect to the threat posed by the military-industrial complex of the People’s Republic of China (PRC). President Biden also expanded the scope of this national emergency by finding that the use of Chinese surveillance technology outside the PRC, as well as the development or use of Chinese surveillance technology to facilitate repression or serious human rights abuses, constitute unusual and extraordinary threats. This E.O. allows the United States to prohibit – in a targeted and scoped manner – U.S. investments in Chinese companies that undermine the security or democratic values of the United States and our allies.