The New York Stock Exchange to begin delisting proceedings against China National Offshore Oil Corporation to comply with an executive order from Donald Trump banning Americans from investing in companies linked to the Chinese military.
The NYSE said on Friday that it would halt trading in Cnooc’s U.S. depository shares on March 9, after determining the company was “no longer listed” following the order than the former U.S. President signed in November.
The order banned investing in dozens of Chinese groups listed last year on a Pentagon blacklist of companies accused of working with the People’s Liberation Army and threatening US security. Trump has set January 28 as the deadline for the ban to take effect, but President Joe Biden has extended the deadline to May 27.
The NYSE move comes as Biden assesses a number of assertive actions Trump has taken against China in his last year in office. The department of commerce put last year Cnooc on a separate blacklist – called the “entity list” – that makes it difficult for US companies to sell products and technology to the Chinese oil group.
The Biden administration has not specified whether it intends to keep Trump’s executive order in place. But the new president and his officials have so far adopted a tough stance on China everything from its economic “coercion” to concerns about its crackdown on the pro-democracy movement in Hong Kong to the crackdown on more than a million Uyghur Muslims in northwest China’s Xinjiang province.
Earlier this month, Biden used his first conversation with Chinese President Xi Jinping since taking office to raise concerns about Hong Kong and Xinjiang, as well as China’s aggressive actions towards Taiwan. Antony Blinken, Secretary of State, also called the detention of Uyghurs in labor camps “genocide”.
Jen Psaki, White House press secretary, said the administration was conducting a number of “complex reviews” of Chinese actions taken by Trump. The former president put dozens of other Chinese companies on Pentagon and Commerce Department blacklists, including Huawei, the Chinese telecommunications equipment group.