Trump Signs 'Investment Ban' on Chinese People's Liberation Army-Related Companies (Update)

Administrative Order Effective January 11 Next Year... Potential 'Mongni' Ahead of Biden's Inauguration
Targeting 31 Companies Including Huawei and China Mobile

[Asia Economy New York=Correspondent Baek Jong-min] President Donald Trump signed an executive order to curb China immediately upon returning to work.

[Image source=Reuters Yonhap News]

According to U.S. media, on the 12th (local time), President Trump signed an executive order regulating investments by Americans and American companies related to China.

The executive order primarily bans U.S. investments in companies associated with the Chinese People's Liberation Army. The economic weekly Forbes reported that 31 companies identified by the U.S. Department of Defense as linked to the Chinese Communist Party and the People's Liberation Army are targeted. China's telecommunications equipment company Huawei and the country's largest mobile carrier China Mobile are also included on this list.

Not only direct investments related to these companies but also derivatives and other financial products are prohibited from trading. According to this executive order, U.S. pension funds are expected to face significant restrictions on investments in China-related companies.

The effective date of this executive order is January 11 of next year, just ten days before the inauguration day of President-elect Joe Biden.

This content was produced with the assistance of AI translation services.