China on Saturday vowed to take “necessary measures” in order to protect its companies following the New York Stock Exchange (NYSE) delisting three Chinese telecom firms for alleged ties to the country’s military.
NYSE announced on Thursday that it began the process to delist China Mobile Ltd., China Telecom Corp Ltd. and China Unicom Hong Kong Ltd., suspending them from trading between Jan. 7 and 11. The move came after President TrumpDonald TrumpTrump calls Georgia Senate runoffs ‘both illegal and invalid’ in New Year’s tweets Judge dismisses Gohmert’s election suit against Pence Ex-GOP senator suggests forming new party, calls Trump ‘ringmaster’ of Republicans MORE issued an executive order in November prohibiting U.S. investments in Chinese firms regulated by the military, which will go into effect on Jan. 11.
“This kind of abuse of national security and state power to suppress Chinese firms does not comply with market rules and violates market logic,” the Chinese Ministry of Commerce said, according to Reuters.
“It not only harms the legal rights of Chinese companies but also damages the interests of investors in other countries, including the United States,” it added.
The ministry also asked that the United States would consider compromising with China in order to restore bilateral trade relations, Reuters reported.
The Trump administration has ramped up the increasing strain between the U.S. and China in the final weeks before President-elect Joe BidenJoe BidenTrump calls Georgia Senate runoffs ‘both illegal and invalid’ in New Year’s tweets Judge dismisses Gohmert’s election suit against Pence Ex-GOP senator suggests forming new party, calls Trump ‘ringmaster’ of Republicans MORE assumes office. Earlier this year he signed an executive order allowing the U.S. to blacklist Chinese companies, stating that the Chinese military sought to influence “civilian Chinese companies to support its military and intelligence activities,” which he said would cause an “unusual and extraordinary threat” to the U.S.
Chinese officials have said they are hopeful that the incoming Biden administration will be able to ease tensions.
China’s senior diplomat Wang Yi said that he believes Biden could usher in “a new window of hope” regarding relations between the U.S. and China, according to Reuters.