President Biden took a major step in protecting his nation’s security by amending a ban on US investment in Chinese companies started by his predecessors and sanctioning more firms which are alleged of having links with China’s military or surveillance sector.
The list of firms sanctioned for the ban include firms related to the maritime sector as well including China Marine Information Electronics Company Limited, China Shipbuilding Industry Company Limited, China Shipbuilding Industry Group Power Company Limited, China State Shipbuilding Corporation Limited, China Offshore and Marine Engineering (Group) Company Limited and China National Offshore Oil Corporation.
The reports indicate that the new investment prohibition will come into effect from August 2 at 12:01 am in New York. The investors have been allotted a full one year to divest completely. This amendment to the orders of the previous President has come after a couple of Chinese companies challenged it in US Court.
President Biden said that these additional measures were important to address the national emergency which was professed in his predecessor’s administrative order in November 2020, including the danger posed by China’s ‘military-industrial complex'.