US President Biden’s stance on Trump’s order has been closely watched by Wall Street իտ Capitol Hill, where bipartisan lawmakers have called for a strong stance on trade from China to human rights.
President Joe Biden on Thursday signed a decree amending the ban on US investment in Chinese companies under his predecessor, naming 59 firms linked to China’s military or surveillance industry, including Huawei Technologies Co., the country’s three largest telecommunications companies.
The ban on new investments will take effect on August 2 at 12 o’clock. In New York on 01, according to administration officials, who told reporters anonymously. Investors will have one year to sell in full.
Biden’s order is largely a continuation of a policy pursued by former President Donald Trump, which has been challenged in court, confusing investors about the extent to which it has access to subsidiaries of blocked companies. Biden’s stance on Trump’s order was closely followed by Wall Street and Capitol Hill, where lawmakers from both parties called for a strong stance against China, from trade to human rights.
Many of Biden-ordered companies were already on the Trump administration’s list, including the country’s largest telecoms, China Mobile Communications Group Co., China Unicom Ltd. և China Telecommunications Corp.
Among the defense companies on Biden’s list is the China Aviation Industry Corporation, one of China’s most famous military giants. China North Industries Group Corp; China Aerospace Science and Industry Corporation Ltd; and China Shipbuilding Industry Co.
Biden’s list also includes Hangzhou Hikvision Digital Technology Co., a maker of camera-recognition technology that has helped Chinese authorities implement “safe city” initiatives in Xinjiang, where ethnic Uyghurs have been persecuted.
The companies on Biden’s list that were not included in Trump’s initial ban include Zhonghang Electronic Measuring Instruments Co. և Jiangxi Hongdu Aviation Industry Co.
Others include: Proven Honor Capital Ltd; Proven Glory Capital Ltd; Shaanxi Zhongtian Rocket Technology Co .; Inner Mongolia First Machinery Group Co .; Changsha Jingjia Microelectronics Co .; China Avionics Systems Company Ltd; China Satellite Communications Co .; China-based Costar Group Co .; Fujian Torch Electron Technology Co .; and Guizhou Space Appliance Co.
The Ministry of Finance released the instructions on the fines late Thursday. The treasury will update the list on a mobile basis, said one official.
According to Biden, investment bans will apply to companies’ subsidiaries only if they are specified by the Office of External Assets. The amended order clarifies that the funds will no longer apply to companies whose names closely match those listed, Biden administration officials said.
The OFAC list will be coordinated with the State Պետ Department of Defense. The Pentagon is expected to announce the names of additional companies on Thursday, as Congress demands that the list of Chinese military companies be maintained. Some companies will be listed by the Pentagon և OFAC.
The amendment to Trump’s order came after two Chinese companies successfully challenged it in a US court. Biden’s team said that a review was needed to ensure that it was legally sound, long-term.