WASHINGTON: A group of Republican lawmakers plans to unveil legislation this week to keep Americans from investing in foreign defence companies with ties to China’s military, according to a document seen by Reuters, the latest in a string of measures aimed at curbing US funding for China-based firms.
“On one hand, Congress is asking taxpayers to help grow our military so we can compete with China. On the other hand, large US investment funds are dumping US dollars into China’s military-industrial base,” Banks said in a statement.The move comes as the US government has begun extending its trade and technology battle with Beijing to capital markets, as ties between the rival nations have soured over the origins of the deadly coronavirus.
On Friday, President Donald Trump said his administration will study ways to safeguard Americans from the risks of investing in Chinese companies, ratcheting up pressure on the firms to comply with US accounting and disclosure rules.