Chinese telecom companies request a review of the decision to remove them from “Wall Street”
As the Biden administration started
Friday – 9 Jumada II 1442 AH – January 22, 2021 AD Issue No. [
The three Chinese telecom giants have applied for a review of their delisting from Wall Street (EPA).
Beijing: «Middle East»
In two separate, but similar statements published Thursday in Beijing time, “China Mobile”, “China Telecom” and “China Unicom” confirmed that it asked the New York Stock Exchange on Wednesday evening to start a review of its decision.
Earlier this month, the New York Stock Exchange announced its intention to write off the three companies under the control of the Chinese government that also deal in the Hong Kong Stock Exchange.
This came in implementation of a decree issued by former President Donald Trump on 12 November, preventing Americans from investing in Chinese companies that are believed to supply or support military and security services in Beijing.
The US ban has had wider ramifications for companies. American investors quickly sold their stakes, and index companies removed stocks from their benchmarks.
Indexing firms MSCI, FTSE Russell and Standard & Poor’s Dow Jones have removed telecom companies from their benchmarks this month. This wiped out $ 5.6 billion of the combined value of its shares traded in Hong Kong.
In their statement, the three companies said that the review of this decision must take place after at least 25 normal business days from the date of filing the application. By submitting this request on the day of the new US President Joe Biden’s inauguration, these companies are apparently betting on a change in US policy toward China after the confrontation under Trump.
But during a hearing in the Senate on Tuesday, the incoming US Treasury Secretary Janet Yellen confirmed that the new US administration will not adopt a different policy in this area. In response to questions from the Senate Finance Committee at the hearing to confirm her position, Yellen emphasized that China is “undermining US companies” with a series of policies, including illegal financial support, product dumping, intellectual property theft and tariff barriers to American goods.
“We need to confront China’s unfair and illegal abusive practices,” Yilin said, adding, “We are ready to use a full range of tools” to address these issues.