New York Stock Exchange (NYSE).
Photographer: Michael Nagle / Bloomberg
Photographer: Michael Nagle / Bloomberg
The New York Stock Exchange said it will release three Chinese corporations to comply with a U.S. regulatory order that placed restrictions on companies identified as linked to Chinese weapons.
China Mobile Ltd., China Telecom Corp. Ltd., China Unicom Hong Kong Ltd will be suspended from trading between January 7 and January 11, and proceedings to deliver have begun, according to a statement by the exchange.
The three companies in Hong Kong have separate listings. They all generate their total revenue in China and have no significant presence in the US except their listings there.
U.S. President Donald Trump signed an order in November banning American investments in Chinese-owned or controlled companies, in a bid to pressure Beijing over what it sees as nonverbal business practices. The order barred U.S. investors from buying and selling shares in a list of Chinese companies referred to by the Pentagon as an arms link.
Chinese Foreign Ministry later accused the U.S. of “mockingly” its civilian-military integration policies and vowed to protect the country’s companies. Chinese officials have also threatened to respond to the Trump administration’s previous actions with their own blacklist of U.S. companies.
The regulatory order resulted in the removal of a series of companies indexes compiled by MSCI Inc., S&P Dow Jones Global Index and FTSE Russell.
Global exchanges, including NYSE and Nasdaq Inc., have been courting Chinese companies in the past decade as they seek to expand their IPO business, particularly in the international sector. web. In response, Hong Kong Exchanges & Clearing Ltd. changed. rules in recent years to retrieve listings, including allowing the sale of shares by companies with voting rights by weight – strengthen the power of company founders at the expense of weaker protections for minority -investor.
Companies bringing in e-commerce giants Alibaba Group Holding Ltd. and JD.Com Inc., which already had listings in New York, high school listings in Hong Kong in the past two years as the U.S.-China trade war intensified.
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