US President Joe Biden added nearly 30 Chinese companies to a blacklist of companies allegedly linked to the Chinese military on Thursday. This was announced by the White House.
The blacklist has been expanded from 31 to 59 companies. This includes technology giant Huawei, oil giant Cnooc, Chinese railway construction group and video surveillance company Hikvision. Americans are no longer allowed to invest in companies that appear on the list.
Anonymous sources close to the government told US media that the ban on new investments will take effect on August 2 at 12:01 am in New York. Investors have one year to fully liquidate.
Biden largely continues one of the policies established by former President Donald Trump. This policy was challenged in court and confounded investors because it was not clear whether affiliates of the banned companies were also covered. Both Democrats and Republicans had previously called on the Biden administration to take a firm stand against China on issues ranging from trade to human rights.
A Hikvision spokesperson said in a statement Friday that “the US government … continues to find innovative ways to continue targeting Hikvision simply because we are headquartered in China.”