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The leaders of two panels in the congress urged the Securities and Exchange Commission to endanger Chinese groups, including Alibaba, who have military ties that endanger American national security.
John Moolenaar, Republican President of the China Committee of China, and Rick Scott, Republican President of the Senate Committee for Aging, SECOND President Paul Atkins Friday to ask his agency to take measures against 25 Chinese groups listed on American exchanges.
The targets also include the Baidu search engine, the online retail platform JD.com and the popular weibo social media platform.
“These entities benefit from the capital of American investors while advancing the strategic objectives of the Chinese Communist Party the letterwhich was obtained by the Financial Times. “They also present an unacceptable risk for American investors.”
Moolenaar and Scott said that no matter how much Chinese groups are marketed on the surface, they were “ultimately exploited for state harmful purposes”, partly because of the China’s civil merger fusion program which forces Chinese companies to share technology with the popular liberation army when it is ordered by Beijing.
The push marks the last American effort to counter China And reduce its ability to use American capital, technology and expertise to modernize its soldiers.
The two countries are also involved in a trade war This exacerbated tensions between Washington and Beijing. Thursday, the CIA also published two Chinese language videos designed to help them recruit more spies Inside China.
Moolenaar and Scott said that the extent of CCP control over Chinese companies was “systematically hidden from American investors” and that Chinese law has created “an unpredictable risk for American investors that strengthened disclosure cannot mitigate”. They added that many companies they have cited in their letter were “not only opaque” but were “actively integrated into the Chinese military and surveillance apparatus”.
They declared that the SEC had the tools and the authority under the law on foreign companies to “suspend exchanges and oblige the delimitation by suspending or by revoking the registration of titles of Chinese companies which do not adequately protect American investors”.
“The dry can – and must – act,” wrote Moolenaar and Scott.
The objectives include Pony AI, which manufactures an autonomous driving technology, and Hesai, a group of laser sensors that the Pentagon has placed on a list of groups with alleged military links, which the company has denied.
They also include Tencent Music, a streaming platform belonging to Tencent Holdings, which has already been placed on the Pentagon black list. Another group is Daqo New Energy Corp, a Polysilicon producer who has already been put on a black list of the US trade department for having pretended forced work in the Xinjiang.
The legislators said that groups were only a subset of Chinese companies “access the American capital while serving a genocidal dictatorship and our first geostrategic rival”.
There were 286 Chinese companies on American exchanges in March, according to the US-Chinese economic and security revision and security commission, which was created by the Congress to investigate the implications of trade in trade and economic relations between the United States and China.
This decision comes as some investors in the United States are concerned that the American-Chinese trade war could transform into a capital war.
“This subscription of American investors from several dollars from our main opponent during these many years will now gradually be based on a term, as is our desire to continue to tolerate very unfair commercial practices in China,” said Roger Robinson, former president of the American-Chinese Economic Revision and Security Commission, which is now heading for its own consultants.
Atkins, who was sworn in as the president of the dry last month, has not yet announced political measures focused on China. His predecessor, Gary Gensler, increased examination of titles associated with Beijing.
Questioned in his understanding of confirmation of what the Chinese groups comply with American standards, Atkins said: “The accounting and the audit are really crucial obviously for the protection of investors and the capital markets.”
In addition to putting pressure on action on Chinese companies in the United States, the China of China in China has increased US financial groups that work or invest in Chinese companies that have allegedly allegedly linked to accusations of human rights violations.
The FT asked for comments from each of the companies.
The Chinese embassy in Washington said Beijing opposed the United States, “the concept of national security, using national devices and long-term competence to bring Chinese businesses,”.
“We are opposed to transforming trade and technological issues into political weapons,” said Liu Pengyu, spokesperson for the embassy.
Friday, the SEC said that Atkins would respond directly to the members of the Congress.
