Washington has banned U.S. investors from 59 Chinese companies
The Biden administration bans Americans from investing in dozens of Chinese defense and surveillance companies to prevent US capital from being used to harm China’s national security.
President Joe Biden on Thursday signed an order banning investments in 59 companies, including Huawei telecommunications equipment maker and Semiconductor Manufacturing International Corporation, China’s largest chip maker, which U.S. intelligence believes is very important to the Chinese military.
Senior U.S. officials have said the ban will take effect Aug. 2. But investors can do business to remove their stakes in the next 12 months. If Americans do not have to dispose of the securities, they will not be able to sell their shares after a period of one year.
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