Posted on 12/04/2020 10:21:55 AM PST by SeekAndFind
The Trump administration on Dec. 3 added China’s top chipmaker, SMIC, and oil giant CNOOC to a blacklist of companies tied to the Chinese military.
The Department of Defense designated a total of four additional companies as owned or controlled by the Chinese military, including China Construction Technology Co Ltd and China International Engineering Consulting Corp.
The move, first reported by Reuters on Sunday, takes to 35 the total number of blacklisted companies. While the list did not initially trigger any penalties, a recent executive order by President Donald Trump will prevent U.S. investors from buying the firms’ securities from early next year.
The order was aimed at preventing American capital from being used to fund the Chinese regime’s military development. It stated that Beijing uses ostensibly private companies to support military and intelligence activities under the strategy of “civil-military fusion.”
In Beijing, a foreign ministry spokeswoman said the regime opposed the new blacklistings.
“The U.S. should stop abusing national power and national security concepts to suppress foreign companies,” Hua Chunying told a regular news briefing on Friday.
In a stock market statement, SMIC said it strongly opposed the decision, which reflected a fundamental misunderstanding by the U.S. administration of the end-uses of its business and technology.
The company also said there was no major impact from its addition to the list. Its Hong Kong shares closed Friday down 5.4% after having resumed trading in the afternoon following a suspension.
CNOOC, formally known as China National Offshore Oil Corp, said it was “shocked and regretful” at being added to the list. The move was based on “false and inaccurate information”, it said in a statement on its website.
In an exchange filing, the state-owned company’s listed arm, CNOOC Ltd, said it was assessing the impact of the situation
(Excerpt) Read more at theepochtimes.com ...
SMIC, which relies heavily on equipment from U.S. suppliers, was already in Washington’s crosshairs.
The Chinese government doesn’t lack for “capital” since every Chinese made thing in Walmart contributed to the Chinese treasury.
Not sexy news, but important news.
Do NOT forget the purchasers!
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