Tencent, CATL Added to US Military Blacklist Despite Short-Term Market Impact

The inclusion of Chinese companies on US blacklists is hardly new. But in recent years, the growing dominance of Chinese firms in sectors such as electric vehicle batteries and shipbuilding has attracted both significant foreign investment and attention that makes them particularly susceptible to US regulatory actions.

On Tuesday, the US Defense Department added CATL, the world’s largest EV battery maker, and Tencent, the largest game maker, to a blacklist for alleged links to the Chinese military. Shares in both dropped in response — in the case of Tencent more than 7 per cent in Hong Kong, highlighting investors’ sensitivity to rising geopolitical tensions and regulatory risks. But the sell-off should be shortlived. Other companies on the Chinese military blacklist include chipmaker Changxin Memory Technologies and China’s largest shipping company Cosco Shipping Holdings, plus two local shipbuilders. Tencent and CATL have denied military ties and called the designation a mistake. Investors’ concerns about the potential impact of the latest blacklisting are understandable given the global market share and investor base of the affected companies. Chinese shipbuilders, for example, accounted for nearly three-quarters of all global new orders last year. But not all blacklists are equal. There are certain types of blacklists that can cause much financial damage to affected companies. For example, the entity list maintained by the Department of Commerce — which restricts US exports of goods and technology to listed entities without a licence — is one. An investment ban on certain Chinese companies is another, as this gives US investors a deadline to divest, resulting in a lasting sell-off. But being placed on the Chinese military blacklist is a designation that carries no specific penalties and does not involve immediate bans for companies. For Tencent, which gets most of its revenue outside of the US, the financial impact should be limite

대한민국 최근 뉴스, 대한민국 헤드 라인

Similar News:다른 뉴스 소스에서 수집한 이와 유사한 뉴스 기사를 읽을 수도 있습니다.

US adds Tencent and CATL to list of companies working with China’s militaryShares of WeChat owner and EV battery maker fall after defence department discloses designation
출처: ftenergy - 🏆 47. / 63 더 많은 것을 읽으십시오 »

Tencent and CATL Threaten Legal Action Over Pentagon Military Company ListingTencent and CATL, the world's largest electric vehicle battery maker, are planning legal action to challenge their inclusion on a Pentagon list of Chinese military companies. Both companies stated they would contest the designation and engage in discussions with the US Department of Defense to be removed.
출처: FT - 🏆 113. / 51 더 많은 것을 읽으십시오 »

US Adds Tencent to Military Company ListThe US Department of Defense has added Chinese tech giant Tencent to its annual list of “Chinese military companies”. While inclusion doesn’t automatically result in a ban, it raises concerns about Tencent’s potential ties to China’s military. Tencent, known for its WeChat messaging platform and gaming services, maintains its inclusion is an error and plans to appeal. The PLA could potentially leverage Tencent’s ubiquitous platform and cloud services for its modernization and defense efforts.
출처: TheRegister - 🏆 67. / 61 더 많은 것을 읽으십시오 »

Tencent Shares Plunge After Pentagon Designates It as Chinese Military CompanyTencent's US-listed shares dropped sharply after the Pentagon added the tech giant to a list of Chinese companies deemed to be operating with the Chinese military. While the designation carries no immediate legal consequences, it raises reputational concerns for Tencent, which owns the widely used messaging app WeChat. The Pentagon's move is part of a broader US effort to counter China's military ambitions and technological advancements.
출처: FT - 🏆 113. / 51 더 많은 것을 읽으십시오 »