Input 2021.01.07 07:48
According to Reuters and others, NYSE announced on the 6th (local time) that it would withdraw three companies: China Mobile, China Telecom, and China Unicom from the New York Stock Exchange.
After announcing the delisting of three telecommunications companies on the 31st of last month, after further discussions on the 4th of this month, four days later, the company announced that it would not delist it.
This is a follow-up to President Donald Trump’s executive order banning American investment in companies affiliated with the Chinese military in November. Prior to the executive order, the US Department of Defense had listed these three state-owned telecommunications companies on the list of companies affiliated with the Chinese military.
Although the OFAC’s guidelines were changed as an official reason, the NYSE’s reversal was due to pressure from the Trump administration, including Treasury Secretary Stephen Manusin, Bloomberg reported.
According to reports, Minister Manusin called NYSE’s Chief Executive Officer Stacy Cunningham (CEO) and expressed his opposition to the overturning of the original decision to delist three companies: China Mobile, China Telecom and China Unicom.
Bloomberg added that White House Secretary Mark Meadows, National Security Adviser Robert O’Brien and White House National Economic Commissioner Larry Kurdlow were also involved in the response from the US administration.
He pointed out that NYSE’s fluctuating moves are creating chaos in the financial market over a series of policies, including an executive order banning investment in companies affiliated with the Chinese military last November.
In this regard, sources said that after the NYSE made a decision to delist in order to comply with the executive order, the policy was withdrawn after four days when questions were raised whether the banned company was correct. Told.
Chinese authorities strongly opposed the news of their news agencies’ exit from the New York market. The Chinese Ministry of Commerce issued a statement shortly after the report and urged the United States to “stop unreasonable repression,” Reuters reported.
The Ministry of Commerce also said the delisting would hurt consumers’ interests, suggesting that it could take the necessary steps to support Chinese companies.
Prior to the final decision, Chinese Foreign Ministry spokesman Hua Chun-ying said at a regular briefing, “The news from the US is fluctuating, but China’s position on this issue is very clear.” “The suppression of corporations shows the randomness and uncertainty of US laws and regulations.”
“The impact of US repression on Chinese companies is quite limited,” said a spokesperson for Hua.