Wall Street to kick out Chinese telecom giants

Wall Street to kick out Chinese telecom giants
Source: GETTY IMAGES
2 Min Read

Daily US Times: The New York Stock Exchange (NYSE) said it will delist three Chinese telecom giants based on claimed links with its military.

China Telecom, China Mobile and China Unicom Hong Kong have all been targeted by the Trump administration.

Shares in these Chinese telecom giants will be suspended on the New York Stock Exchange next week while proceedings to delist them have begun.

The companies earn all of their revenue in China and have no significant presence in the United States.

The move is seen more as a symbolic blow amid heightened geo-political tensions between China and the US.

The three companies’, all of them are state-owned, shares are thinly traded in the US compared to their primary listings in Hong Kong. The companies dominate the telecoms industry in China.

President Trump signed an order in November barring American investments in Chinese firms owned or controlled by the military.

The order prohibited US investors from buying and selling shares in a list of Chinese companies designated by the Pentagon as having military ties.

President Trump has targeted a number of Chinese companies including Huawei, TikTok and Tencent on the grounds of national security.

China responded with its own blacklist of US companies as tensions between the powerful economies escalate.

The shares of China Telecom, China Mobile and China Unicom Hong Kong will be suspended from trading between 7 and 11 January, the NYSE confirmed.

You may read: Australia changes national anthem to reflect indigenous past