İrem UZUN -TDO- The New York Stock Exchange (NYSE) will delist China’s three large telecom carriers, after a U.S. government order barring Americans from investing in companies it says help the Chinese military. China Mobile Ltd.-which is among the most valuable of China’s listed state-owned enterprises- will be kicked off the Big Board after more than two decades, along with China Telecom Corp. and China Unicom Hong Kong Ltd.
The move comes after U.S. President Donald Trump in November unveiled an executive order barring United States investment in Chinese companies that Washington says are owned or controlled by the Chinese military, which could affect some of China’s biggest companies. NYSE said that the issuers were no longer suitable for listing as the order bans any transactions in securities “designed to provide investment exposure to such securities, of any Communist Chinese military company, by any United States person”. NYSE said that it would suspend trading on either January 7 or January 11. The issuers have a right to a review of the decision.
China said Saturday that it would take necessary countermeasures after the NYSE began delisting. China "will take the necessary countermeasures to resolutely safeguard the legitimate rights and interests of Chinese companies," a Chinese Commerce Ministry spokesperson said, without naming specifics. Wang Yi, China's foreign minister, said on Saturday that Trump's policies amount to an "attempt to suppress China and start a new Cold War”. “We hope that the next U.S. administration will return to a sensible approach, resume dialogue with China, restore normalcy to the bilateral relations and restart cooperation," Wang said in an interview with state-sponsored Xinhua News Agency.