WASHINGTON (Sputnik) – The Biden administration has issued a general license authorising transactions involving securities of certain Communist Chinese military companies, overturning a ban imposed by former President Donald Trump, the Treasury Department said in a notice on its website on Wednesday.
The license allows transactions with any company “whose name closely matches, but does not exactly match, the name of a Communist Chinese military company … through 9:30 a.m. eastern daylight time, May 27, 2021,” the notice said.
In mid November, former US President Donald Trump signed an executive order banning US citizens and companies from purchasing securities of Chinese companies which Washington believes could be linked to the Chinese military beginning from 11 January.
The United States and China have been on strained terms since 2017, when Washington’s updated National Security Strategy portrayed China, a long-time advocate of a multipolar world, as a major threat to the US interests in world politics.
The bilateral relationship further soared in the summer of 2018, when Washington hiked duties on $50 billion worth of Chinese imports in a bid to balance the trade deficit.
Since then, the two countries have exchanged several rounds of reciprocal tariffs and waged a brutal economic confrontation with diplomatic repercussions, which is often referred to as a trade war.
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