US warns China meddling in Hong Kong hurting business confidence

The 1992 US-Hong Kong policy act allows Washington to engage with Hong Kong as a non-sovereign entity distinct from China on matters of trade and economics.

"Policies and practices of the mainland central government adversely impacted Hong Kong in multiple areas, and mainland pressure resulted in new constraints on Hong Kong's political space," the report said. The continuation of the US Congress enacted policy is predicated upon China and Hong Kong maintaining a so-called"one country, two systems" arrangement.

Some critics, including pro-independence activist Andy Chan, have called on the US to review the viability of this act in future, given China's tightening grip on the city's freedoms.

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