Donald Trump signs law that could delist Chinese companies from US stock exchanges

US President Donald Trump signed into law on Friday the Holding Foreign Companies Accountable Act, which will remove Chinese companies from American stock exchanges if they fail to comply with US auditing oversight rules within three years.

The law, which applies to all foreign companies listed on US exchanges but is widely regarded as being directed at Chinese firms, is the latest move from Washington targeting some of the biggest players in China’s economy.

China’s Ministry of Commerce said it opposed the move and will take necessary measures to protect the interest of Chinese companies.

“The United States has continuously abused export control measures to suppress other countries’ enterprises, institutions and individuals, causing serious damage to the international economic and trade order and free trade rules, and posing a serious threat to the security of the global industrial chain supply chain,” a spokesman for the ministry said.

“We once again urge the US to stop unilateralism and bullying, give fair treatment to companies from all countries, including Chinese companies”.

Some analysts said the move was the latest indication that Trump was hardening his stance on China in his final month in office, and that the companies affected might consider listing elsewhere.