Biden adds dozens of Chinese companies to the blacklist 4

Biden adds dozens of Chinese companies to the blacklist 4

Biden added 28 Chinese companies to the blacklist, in addition to the 31 companies under Trump, due to suspicions of their links to the Chinese military.

US President Joe Biden on June 3 signed an executive order banning US entities from investing in dozens of Chinese companies accused of having ties to the surveillance or defense technology sectors.

The Treasury Department will enforce and update `on a rolling basis` a new list of approximately 59 companies, prohibiting American investors from buying or selling with these companies, and replacing the Department of Defense’s previous list.

According to Biden, this order prevents US investment in China’s military-industrial sector, as well as military, intelligence and security research and development programs.

`In addition, I see China’s use of surveillance technology outside of China and the development or use of China’s surveillance technology to facilitate serious human rights abuses as constituting threats

US President Joe Biden spoke at the White House on June 2.

Major Chinese companies on the Ministry of National Defense’s previous list were also included in the new list, including Aviation Industry Corporation of China (AVIC), China Mobile Communications Corporation, Petroleum Corporation

SMIC is key to China’s national drive to boost its domestic chip sector.

`In the coming months, we will add additional companies to the new executive order’s restrictions,` one of the senior officials said.

The investment ban takes effect from August 2 and current shareholders have one year to divest.

Another official said that putting Chinese surveillance technology companies on the blacklist expanded the scope of the executive order to include 31 companies that former President Donald Trump’s administration announced late last year, which was sanctioned by the House of Representatives.

The move is part of a broader series of moves by Biden to counter China, including strengthening US alliances and pursuing major domestic investments to boost economic competitiveness.

Biden’s Indo-Pacific policy coordinator, Kurt Campbell, said last month that the era of engagement with China was over and that the dominant model in future bilateral relations would be competition.

The initial list announced under Trump included major telecommunications, construction and technology companies such as China Mobile, China Telecom, video surveillance company Hikvision and China Railway Construction Corp.

A day before Biden signed the new order, Beijing continued to criticize the Trump-era blacklist and vowed to protect the interests of Chinese companies, saying the measure was `politically motivated`, `abolished

A tough line with China receives support from the US bipartisan Congress.

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