China securities regulator says NYSE delistings 'political', affect 'limited'
04 January, 2021
China's securities regulator on Sunday explained New York Stock Exchange (NYSE) strategies to delist three Chinese telecom organizations happen to be "political" and that the impact will come to be "limited".
China's securities regulator on Sunday (Jan 3) explained New York Stock Exchange (NYSE) programs to delist three Chinese telecom organizations happen to be "political" and that the impact will come to be "limited".
The NYSE on Thursday said it would delist China Mobile, China Unicom Hong Kong and China Telecom Corp following President Donald Trump's move in November to bar US investment in 31 companies that Washington says are owned or handled by the Chinese military.
The China Securities Regulatory Commission, in a dilemma and answer published on its official website, said the plans are "politically motivated".
The move "completely disregards you see, the situation of the relevant companies and the genuine rights and interests of global investors and severely undermines normal market rules and order," the Chinese regulator said.
The entire scale of the American Deposit Receipts listed by the three companies is small, it said, with a complete market value of significantly less than 20 billion yuan (US$3.07 billion), or 2.2 % of the total equity of the three firms.
"Even if delisted, the direct impact on the companies' creation and market operation is fairly small," the regulator said.
China's commerce ministry said on Saturday it will require "necessary measures" to guard the interests of Chinese businesses.
China Mobile, China Unicom and China Telecom said that they had not received notification from the NYSE of its delisting decision.
In the ultimate weeks before President-elect Joe Biden takes office on Jan 20, the Trump administration has stepped up its hard-line stance against China.
Relations between your two biggest economies have come under increasing strain amid a number of disputes over concerns such as trade and human rights.
The US Commerce Department added a large number of Chinese companies to a trade blacklist in December, accusing Beijing of with them to harness civilian technology for military purposes.
Chinese diplomats have expressed hope that Biden's election can help ease tension between the two countries.
Source: www.channelnewsasia.com
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