Biden XO bans U.S. investments in Chinese shipbuilding giants
Written by Nick BlenkeyIf you’re a “United States person” and have been thinking of investing in the Chinese shipbuilding industry, think again.
President Biden yesterday issued an Executive Order (XO) aimed at “addressing the threat from securities investments that finance certain companies of the People’s Republic of China (PRC).”
It expands on earlier U.S. actions targeting the “threat posed by the military-industrial complex of the PRC and its involvement in military, intelligence, and security research and development programs, and weapons and related equipment production under the PRC’s Military-Civil Fusion strategy.”
Under the Executive Order, United States persons are prohibited from “the purchase or sale of any publicly traded securities, or any publicly traded securities that are derivative of such securities or are designed to provide investment exposure to such securities,” of an extensive list of companies that include, among many others:
- China Shipbuilding Industry Company Limited
- China Shipbuilding Industry Group Power Company Limited
- China State Shipbuilding Corporation Limited
- CSSC Offshore & Marine Engineering (Group) Company Limited
You can read the Executive Order HERE
You can read the White House Fact Sheet accompanying it HERE