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China says it would reply to delisting of telecom giants

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Flags of U.S. and China are displayed at American International Chamber of Commerce (AICC)’s sales space throughout China International Fair for Trade in Services in Beijing, China, May 28, 2019.

Jason Lee | Reuters

China vowed on Saturday to reply to the delisting of three telecommunications giants by the New York Stock Exchange beneath an govt order signed by President Donald Trump in November.

The ministry of commerce mentioned in a press release that China will “take necessary measures to resolutely safeguard the legitimate rights and interests of Chinese enterprises,” in line with the state-run Global Times.

The NYSE mentioned on Thursday that it’ll delist China Telecom Corp. Limited, China Mobile Limited, and China Unicom Hong Kong Limited. Trump signed an order in November that barred Americans from investing in corporations it alleged had been linked to the Chinese army.

The funding ban will take impact on Jan. 11, simply days earlier than President-elect Joe Biden is because of be inaugurated. According to NYSE, buying and selling within the three corporations can be suspended presumably as quickly as Jan. 7 or as late as Jan. 11.

The commerce ministry mentioned that the U.S. was “abusing national security and using state power to crack down on Chinese enterprises” and mentioned the transfer was “not in line with market rules and logic, which harms not only the legitimate rights of Chinese enterprises, but also the interests of investors in other countries, including the US.”

It added, “We hope that the US and China will work together to create a fair, stable and predictable business environment for enterprises and investors, so as to get bilateral economic and trade relations back on track.”

Trump has pursued an aggressive financial agenda towards China that has turn into much more restrictive for the reason that emergence of Covid-19, which Trump has derogatively labeled the “China virus,” in Wuhan.

Biden isn’t anticipated to dramatically alter the U.S.-China relationship, and mentioned on Monday that he would “hold China’s government accountable for its abuses on trade, technology, human rights, and other fronts.”

The White House didn’t instantly reply to a request for touch upon China’s assertion on Saturday. The Biden transition workforce additionally didn’t reply to a request for remark.

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