9 months ago
58 A slope worker number China’s renminbi (RMB) oregon yuan notes adjacent to U.S. dollar notes astatine a Kasikornbank successful Bangkok, Thailand, January 26, 2023.
Athit Perawongmetha | Reuters
BEIJING — U.S. investments successful astir 50 blacklisted Chinese companies person drawn the attraction of the U.S. House of Representatives Select Committee connected the Chinese Communist Party.
The committee connected Tuesday announced it sent abstracted letters to MSCI and BlackRock asking for much accusation astir the firms' facilitation of U.S. investments into those Chinese companies.
The Chinese companies were blacklisted implicit claims of supporting China's subject oregon alleged quality rights abuses, the committee said. It noted the archetypal reappraisal did not see 1 of the largest blacklists, the U.S. Department of Commerce's Entity List.
"The existent standard is apt overmuch larger," the letters said.
MSCI said successful a connection it is reviewing the petition for information, and that it doesn't "facilitate" investments successful immoderate country. "MSCI indexes measurement the show of equity markets disposable to planetary investors, and comply with each applicable US laws," the indexing elephantine said.
BlackRock did not instantly respond to a CNBC petition for comment.
Here's the afloat database of names, which are chiefly state-owned companies:
Combined database of Chinese companies flagged by U.S. House committee
| AECC Aero-Engine Control Company Limited |
| AECC Aviation Power Co., Ltd. |
| Aerospace Ch Auv Company Limited |
| AVIC Aviation High-Technology Company Limited |
| AVIC Electromechanical Systems Company Limited |
| AVIC Heavy Machinery Company Limited |
| AVIC Helicopter Company Limited |
| AVIC Industry-Finance Holdings Company Limited (a.k.a. AVIC Capital Company Limited) |
| AVIC Jonhon-Optronic Technology Co., Ltd. |
| AVIC Shenyang Aircraft Company Limited |
| AVIC Xi'an Aircraft Industry Group Company Limited |
| Avicopter PLC |
| BGI Genomics Co., Ltd. |
| CETC Cyberspace Security Technology Co., Ltd. |
| CGN New Energy Holdings Co., Ltd. |
| CGN Power Co., Ltd. |
| Changsha Jingjia Microelectronics Co., Ltd. |
| China CSSC Holdings Ltd. |
| China Mobile Communications Group Company Limited |
| China National Chemical Corporation Ltd. (ChemChina) |
| China National Chemical Engineering Group Corporation Limited |
| China National Nuclear Corporation (CNNC) |
| China National Nuclear Corporation Hua Yuan Titanium Dioxide Company Limited |
| China National Nuclear Power Company Limited |
| China National Offshore Oil Corporation (CNOOC) |
| China Railway Construction Corporation Limited (CRCC) |
| China Spacesat Company Limited |
| China State Construction Engineering Corporation Limited |
| China State Construction Group Company Limited |
| China State Construction International Investment Group Company Limited |
| China Telecommunications Corporation Group |
| China United Network Communications Group Company Limited |
| CNOOC Energy & Technology Services Limited |
| Costar Group Company Limited ? CRRC Corporation Ltd. |
| CRRC Corporation Ltd. |
| CSSC Offshore & Marine Engineering (Group) Company Limited |
| Dawning Information Industry Company Limited |
| Fujian Torch Electron Technology Company Limited |
| Hoshine Silicon Industry Company Limited |
| Inspur Electronic Information Industry Company Limited |
| Jiangxi Hongdu Aviation Industry (Group) Corporation Limited |
| North Industries Group Red Arrow Company Limited |
| Offshore Oil Engineering Company Limited |
| Qihoo 360 |
| Semiconductor Manufacturing International Corporation (SMIC) |
| Xinjiang Daqo New Energy Co., Ltd. |
| Zhejiang Dahua Technology Company Limited |
| Zhuzhou CRRC Times Electric Company Limited |
| ZTE Corporation |
Source: https://selectcommitteeontheccp.house.gov/media/press-releases/unconscionable-profit-fueling-chinas-military-select-committee-launches
The U.S. House committee estimated that 5 BlackRock funds person invested much than $429 cardinal into the blacklisted names. Those companies besides accounted for astir 5% of the MSCI China A Index's worth arsenic of March 1, the committee said.
U.S.-China tensions
The petition for accusation comes arsenic the U.S. has accrued its scrutiny of fiscal ties with China.
Last week, the U.S. Senate overwhelmingly backed authorities that would necessitate U.S. firms to notify the Treasury erstwhile investing successful precocious Chinese exertion connected nationalist information concerns. An earlier mentation of the authorities had called for concern restrictions.
President Joe Biden has agelong been expected to contented an enforcement bid that would restrict U.S. concern successful high-end Chinese tech. No enactment has yet been announced.
Last month, the House committee said it sent letters to 4 U.S. task superior firms implicit their investments into Chinese artificial intelligence, semiconductor and quantum computing companies.
The committee cited allegations that China was utilizing specified technologies for subject improvement oregon perpetuation of quality rights abuses.
Beijing has denied specified abuses, and published claims of "human rights violations successful the United States."
