I am glad to see some of the Chinese companies that are listed on the U.S. stock exchanges being delisted. Maybe, there will be more to come. Companies like Sony, and others.
Some of those listed are giants. Alibaba Group Holding Ltd (BABA.N), Baidu Inc (BIDU.O) and JD.com Inc (JD.O), for example, have a combined market capitalization of more than $500 billion.
Some prestigious older companies like oil giant PetroChina (PTR.N) (601857.SS) (0857.HK) and China Life Insurance (LFC.N) (601628.SS) (2628.HK) also have U.S. listings.
Chinese companies which are already listed would have to find a way to buy out shareholders. One option would be a secondary listing elsewhere and giving investors new shares in exchange for the U.S. stocks.
I have been on this issue for a long time as Kyle Bass is the first to bring this issue to the forefront. For a long time now these same Chinese companies have been playing by a different set of rules all because they have lobbied hard the many members in both the Senate and the house with generous bribes. Cocaine Mitch, Mittens Romney, China Feinstein, Hillary Clinton, Cryin Ryan, Bob Corker, and a few others. Now that the Spygate scandal is getting out in the open, a lot of these crooks have been compromised and have no choice but to play ball, which is why this particular bill is going to pass.
The other caveat here is, these companies are not going to be automatically de-listed, rather they will be given the opportunity to submit to an audit just like all American companies listing on the stock exchange are required to do. If they refuse, then the companies refusing to comply will be de-listed as a result. This according sec 122050.2. This is long overdue, and this bill basically is cutting out the loophole that has given favor ability to such Lobbying power of Chinese representatives.
It’s hard to organize a boycott of any store. It’s much harder to organize a boycott of a nation.
Normally, when I see a Made in China label on a product, I express my disgust and put it back. I found it so hard to shop in certain stores without seeing such labels that I quit shopping at those stores.
Cheap labor and low corporate taxes are the forces that pull American companies by their (money-sniffing) noses to locate within their borders. If we successfully boycott all foreign made products, we hurt some American companies and create more poverty abroad, increasing the need for foreign aid to stave off starvation.
We have a complicated problem. Foreign trade is necessary. To me, China is the only country we should single out for total boycott at this time. First we must develop the abilities to make the necessary products that we need that are currently made in China only…especially some specific drugs.
I have to admit…I used to buy Chinese stocks. But I sold mine. I had only two stocks - Luckin Coffee, and Ailbaba.
I used to buy Sony products, too! No more!
It’s difficult to find products when most are produce in China.
The question of the year, is a product made in S. Korea which adds to the deficit any better for the US than the made i China? A TV made in Mexico (not our friend) where w run a trade deficit any better than made in China?
Back then America had a pretty diverse portfolio of who we imported from! Taiwan was one Japan was another, until we allowed China to undercut everyone. Walmart was the biggest culprit of not only that aspect but filling our landfills at an unprecedented rate.
The interesting thing about electronics manufacturing in Taiwan and how they were able to corner their niche. The Philippines, yeah that country, back in the late 50,s early 60’s were already set up to have a robust manufacturing industry in electronics and were developing to expand in the early 80’s until the assassination of Aquino happened and corruption took over, thanks to the Marcos dynasty that plan was destroyed and Taiwan filled that void. It’s a sad story of a impoverished country trying to lift itself only to be destroyed by greedy plantation owners.
Good! It’s not like the U.S. is depended on China to begin with. They can screw their stocks. I hope it deflates quick.
Luckin Coffee, the upstart coffee chain once touted as a rival to Starbucks in China, is being delisted by the Nasdaq stock exchange. The three-year-old company, which raced to open 6,500 stores across China since its 2017 founding, received a notice from Nasdaq last Friday that its shares were being pulled.
According to Luckin, which shared the news of its delisting on Tuesday, Nasdaq cited “public interest concerns” following the company’s recent accounting scandal as the key reason it’s being delisted.
The Nasdaq suspended trading in the former unicorn on April 7, five days after an internal investigation uncovering massive fraud in the company’s accounts sent shares plummeting 83%. According to the company’s report, sales between the second and fourth quarters of 2019 were exaggerated by $310 million.
Last week, Luckin’s board fired both chief operating officer Liu Jian and company founder and CEO Jenny Qian. Luckin plans to appeal Nasdaq’s decision and says it will remain listed while pending an outcome of its request, which could take more than month.
The brouhaha over Luckin’s fraud, however, could become the impetus Washington needs to act on its longtime threat to impose tougher regulations against Chinese stocks.
I’ll be happier when we force every single American company to move operations out of China and we prohibit any Chinese national from attending our universities, buying real estate, or so much a stepping foot in our country for the next 10,000 years.
That could happened! Whether people want to believe it or not, we are at war with China! It’s being fought in both the financial markets and Cyber space.
I’m in favor of doing everything we can to cut China’s throat economically over this virus and arguably it should have been done more than a decade ago.
We had good intentions granting them Most Favored Nation Trading Status as they are potentially the largest market in the world but they were smart enough to use it against us and become the largest destroyer of US jobs in the history of the nation.
Most high-end, industrial or fabrication-grade semiconductors yes. Same with memory chips, which S. Korea is a big player. The things made in China are only consumer-grade.
That’s a pipe dream we’ll never see come to fruition.
What we should be doing is establishing something like Roosevelt’s War Industries Board to identify what are critical US manufacturing interests and pull them home with carrots rather than force them home with sticks.
If we don’t provide the carrots they will just come home long enough to go bankrupt.
Pull all critical manufacturing out ASAP, starting with the entire pharmaceutical industry and anything related to defense or communications.
The rest we should move out of China, as much as possible to the US but the rest to friendlier nations.
I’ve proposed a “Compaq of The Americas” whereby we form an economic alliance of Free Nations in our own hemisphere taking advantage of the 700m plus work force and the fact we have most of thew world’s accessible remaining raw materials.
We could raise the standard of living from the Arctic to the Antarctic to a US level and even more and become the strongest economic force on the planet in a couple of decades.
Opps! I stand corrected. I have always thought Sony was a Chinese company. My bad. Thank you for clarifying.
As I mentioned before, I used to buy Nike, and other “Made in China” products. But after finding out what they do to young children in their factories and plants; I took a stand and stopped buying them. I stopped using my hard-earned money in supporting any of China’s propagandas, too!
I am Asian American. But since not a lot of stuff is exported out of Vietnam (where I was born), I just started buying “cheap” stuff - mostly “Made in China” crap. No more, though.
The carrots will be eaten by the unions and special interests before the companies even break ground in the US. The entitlement mentality and corruption take deep roots here.
