New York: Relations between the United States and China are deteriorating again. This time around, the United States has banned American investment in companies linked to China’s military. US President Donald Trump on Thursday signed an executive order banning US investment in 31 Chinese companies.
The banned companies include smartphone maker Huawei and video surveillance device maker Hickvision. The list also includes China Telecom and China Mobile, which are listed on the New York Stock Exchange.
Donald Trump’s executive order bans any form of investment or securities bought by Americans in China’s People’s Liberation Army (PLL) military companies. In his executive order, Trump said China is investing heavily in US resources and developing and modernizing its military, intelligence and other security needs to pose a direct challenge to the US military.
Donald Trump said the US executive order would apply to 31 Chinese companies, which are helping China’s military develop and modernize and pose a direct threat to the United States.
Trump claims that these companies raise money by selling securities to US investors and exploiting US investors to help China develop and modernize its military.