Biden’s executive order bans investment in China’s shipbuilders
The Biden administration has banned U.S. investments in Chinese companies allegedly linked to China’s military, expanding hard-line policies introduced by the previous administration.
The executive order bans American citizens from investing in some of the leading defense and surveillance technology firms.
These also include the country’s shipbuilding majors: China Shipbuilding Industry Company Limited, China Shipbuilding Industry Group Power Company Limited, and China State Shipbuilding Corporation Limited.
The order also targets China National Offshore Oil Corporation (CNOOC), China’s primary offshore oil and gas developer; and China Communications Construction Corporation (CCCC).
As explained, the executive order expanded the scope of national emergency by finding that the “use of Chinese surveillance technology outside the PRC, as well as the development or use of Chinese surveillance technology to facilitate repression or serious human rights abuses, constitute unusual and extraordinary threats.”
The order does not prohibit U.S. entities from doing business day-to-day with the blacklisted firms, which are predominantly state-owned.