China has accused the United States of “suppressing” Chinese companies and threatened retaliation after US President Joe Biden expanded the list of blacklisted companies to prevent Americans from investing in Chinese companies.
According to the report, Joe Biden extended the list to 59 Chinese companies two days ago, which are out of the reach of US investors due to their affiliation with Beijing’s ‘military-industrial complex’ as the US launches a campaign to put pressure on Asian superpowers.
Earlier in November, former US President Donald Trump released a list of 31 Chinese companies said to be helping China’s military and security agencies and said the list would be released earlier this year.
However, after legal challenges, Joe Biden’s team reviewed the blacklist and eventually expanded it by deleting some names.
Many of the companies on this list are subsidiaries of the companies already included.
A statement from the White House said the sanctions targeted companies involved in Chinese surveillance technology.
The Chinese Foreign Ministry dismissed the move as a “violation of market rules” and an attempt to “suppress” Chinese companies.
Speaking to reporters, Chinese Foreign Ministry spokesman Wang Wenben called on the United States to treat Chinese companies fairly and non-discriminatorily, and to “remove these so-called lists that oppress Chinese companies.”
“China will take the necessary steps to strengthen the legitimate rights and interests of its companies,” he said.
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The initial list, published during Donald Trump’s administration, included major telecommunications, construction and technology companies such as China Mobile, China Telecom, video surveillance company Hack Vision and China Railway Construction Corporation.
China National Offshore Oil Corporation (CNOOC) was added to the list in January due to which S&P removed it from its stock index and it is still on Biden’s list.
The investment ban will take effect on August 2 and existing shareholders have one year to withdraw their capital.
While the Biden administration has vowed to pursue a more diplomatic approach with China following the departure of Donald Trump, it has said it will maintain a tough stance on a number of issues, including defence and technology.
Republican senators Tom Cotton and Marco Rubio, along with Democrats Gary Peters and Mark Kelly, wrote a letter urging the administration to publish a new list.