RANE Insights: The NYSE, Chinese Companies and Delisting

The New York Stock Exchange halted trading of three Chinese telecom companies on Jan. 11 after an executive order signed by U.S. President Donald Trump went into effect that bans any transaction in publicly traded securities that the United States finds could support the Chinese military-industrial complex. 

The Trump administration also recently added the Chinese National Offshore Oil Corporation (CNOOC) to a U.S. Pentagon list of companies that are either owned by or controlled by the Chinese military, which will force certain U.S. investors to divest from China’s third-largest oil company as well. 

In response, Barron's reported that China has issued its own directive "to prevent the U.S. and other foreign governments from adopting unilateral sanctions or applying them against Chinese entities and individuals." 

On Wall Street, there’s plenty of consternation about what comes next. That’s why RANE Founder David Lawrence gathered a panel of RANE network experts to discuss best practices. The panelists include Emily de La Bruyère, co-founder of Horizon Advisory, where she leads the China research team; Chip Poncy, global co-head of the K2 Integrity Financial Crimes Risk Management practice; and Michael T. Gershberg, a corporate partner resident in Fried Frank's Washington, D.C. office and a member of the International Trade and Investment Practice.