The U.S. government is expected to let Americans invest in Chinese tech giants Alibaba Group Holding Ltd., Tencent Holdings Ltd. and Baidu Inc., after weighing the company’s alleged relationship with China’s military on the impact. The potential economic ban on them.
New York-listed Alibaba and Baidu and Hong Kong-listed Tencent are among dozens of companies reviewed for inclusion on the Pentagon’s list of companies deemed to support military, intelligence and security services. Of China, according to people familiar with this U.S. investors have until November to withdraw their holdings of any of the listed companies.
The United States no longer plans to add all three companies to the list, nine more Chinese companies, including more than 100 affiliates already on the list.
The decision closed a weeks of battle in which Treasury officials feared widespread disposal and the economic downturn against the State Department and Pentagon officials seeking a tougher front with. Peking Until Wednesday morning, many in the State Department and the Pentagon believed they had a compelling case for companies to merge when the administration was refuted, people familiar with the matter said.
In the end, Treasury Secretary Steven Mnuchin triumphed.