Trump signs bill to target China-owned companies listed on US stock exchanges

US President Donald Trump on Friday signed a bill into a law that would require companies listed on the country's stock exchanges to declare they are not owned or controlled by foreign government entities. The bill is meant to specifically keep a check on Chinese companies and to kick them out if they fail to disclose their true affiliations. Earlier this year, the bill was unanimously passed by both Houses of the US Congress. 

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"The 'Holding Foreign Companies Accountable Act' requires certain issuers of securities to establish that they are not owned or controlled by a foreign government, specifically if the Public Company Accounting Oversight Board (PCAOB) is unable to audit specified reports because the issuer has retained a foreign public accounting firm that is not subject to inspection by the Board," the US government said. 

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Trump admin acts tough on Chinese firms

This is not the first action that the outgoing Trump administration has taken to target Chinese companies. Earlier, the US State Department listed 80 Chinese companies that allegedly have links to the People's Liberation Army (PLA) and are mentioned in the US stock exchanges, claiming they pose threat to America's national security with some of them even involved in crimes against humanity. 

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Lately, the United States has been acting tough against companies suspected of being controlled or owned by the PLA, including Chinese telecom giant Huawei. The Trump administration earlier this month added four more Chinese companies to the blacklist of over 30 firms operating in the United States to highlight the military-civil fusion development strategy of China that ensures its military is getting access to advanced technologies. 

These actions are meant to target Beijing-owned or controlled firms that Washington believes are making money in the United States with the help of American investors and are benefiting the Communist State in its malign activities. 

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