U.S. Sanctions 24 Chinese Companies Involved in South China Sea Dispute

On August 26, 2020, the U.S. Government added 24 Chinese companies which help the Chinese military construct artificial islands in the South China Sea to an Entity List that bans them from purchasing American products, including 5 companies under Chinese Communication Construction Company in Hong Kong. The Chinese officials have not replied to the issue yet but the website under Global Times posted the news on WeChat, with a title "Sudden Disturbance".

The list includes Beijing Huanjia Telecommunication Co., Chongxin Bada Technology Development Co., Shanghai Cable Offshore Engineering Co., Tianjin Broadcasting Equipment Co., and the research institutes of the China Electronics Technology Group Corporation and China Shipbuilding Group.

Entity List also includes several divisions of China Communications Construction Company, which is in the Hong Kong stock exchange market (No. 1800). China Communications Construction Company is a contractor, handling many of the infrastructure projects for China's “Belt and Road” initiative around the world.

The U.S. State Department will impose visa restrictions on Chinese citizens who are “responsible for“, or “complicit in”, either the large-scale reclamation, construction, or militarization of disputed outposts in the South China Sea.” The family members of these sanctioned individuals may also face visa restrictions.

As the New York Times reports:

"The Chinese government has been rapidly building artificial islands in the disputed waters since 2013, dredging and constructing more than 3,000 acres of new land, including air defence and anti-ship missile features, the Commerce Department said in its announcement.

The island-building undermines the sovereignty of other countries in the region and comes despite the condemnation of the United States and other countries, according to the announcement."

#Sanction #SouthChinaSea #US #ChineseCompanies #HKStockExchange

Source: Apple Daily; New York Times #Aug26
https://hk.appledaily.com/china/20200826/7BPXGKYR4NBV5HZQTKTFSR6LGU/

#Sanction #US
#Trump Signs Executive Order to Ban Investment in 31 #PLA related Companies

The US President Donald Trump has signed an executive order prohibiting Americans from investing in 31 Chinese companies allegedly tied with the People’s Liberation Army (PLA), including China Mobile, China Telecom, and the China Aviation Industry Corporation, covering industries such as telecommunication technology, aerospace, shipbuilding, and construction.

This executive order will take effect on Jan 11, 2021. All companies listed by the U.S. Department of Defense as owned or controlled by the Chinese military, are banned from US corporate, pension and personal investments.

The executive order covers stocks, funds, and derivatives. U.S. investors who hold these securities are required to sell them before November next year. In addition, investors will have 60 days to clear their holdings for any Chinese companies added to the list in the future.

#US #ChineseCompanies #DonaldTrump #InvestmentBan #ExecutiveOrder

Source: Stand New #Nov13

https://bit.ly/2V57x3v

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