The U.S. Treasury has postponed a ban on trading shares of companies with alleged links to the Chinese military.
The Treasury has moved the date when the restrictions would take effect to June 11, versus a previous date of May 27.
The move by U.S. President Joe Biden’s administration extends a grace period for investors to comply with an investment ban first announced last November under former U.S. President Donald Trump.
Only a handful of impacted Chinese companies, mostly state-owned enterprises, are traded on American stock exchanges. Earlier this month, the U.S. agreed to remove Hong Kong-listed Chinese smartphone maker Xiaomi from its proposed list of banned companies.
But another company on the list, telecommunications giant China Mobile, said earlier this month it expected to delist from the New York Stock Exchange this summer. The company subsequently said that it would issue Yuan-denominated shares on the Shanghai stock exchange.
Chinese companies have rushed to go public in the U.S. in the past 18 months despite the potential for political interference. In late April, a representative from the New York Stock Exchange said about 60 Chinese companies plan to list in the U.S. this year.
