US backs away from latest China tech investment ban - Mobile World Live

US backs away from latest China tech investment ban

14 JAN 2021

The US reportedly dropped a plan to add Alibaba, Baidu and Tencent to a list of Chinese companies deemed a security threat, which was being considered as part of a move by President Donald Trump to broaden investment bans on such businesses.

Reuters reported US Treasury Secretary Steven Mnuchin pushed for a softer approach to the president’s crackdown on Chinese companies, and the plan had been scrapped.

The Wall Street Journal wrote last week the US state, defence and treasury departments discussed the impact banning investment in the trio would have on markets.

While Alibaba, Baidu and Tencent appear to be off the hook, the US administration accelerated a deadline for domestic investors to ditch their holdings in companies on the list to 11 November. Previously, investors were required to stop purchasing the shares by that date.

Huawei, China Mobile and China Telecom are among the companies on the list.

This week the New York Stock Exchange delisted China Mobile, China Telecom and China Unicom, while President Trump last week issued an order blocking transactions with eight Chinese-backed apps.

Back

Author

Joseph Waring

Joseph Waring joins Mobile World Live as the Asia editor for its new Asia channel. Before joining the GSMA, Joseph was group editor for Telecom Asia for more than ten years. In addition to writing features, news and blogs, he...

Read more

Related

Tags