US lawmakers are close to approving
China Securities Regulatory Commission (CSRC)
Chinese companies traded on US exchanges will not be able to bring their accounting system in line with US requirements in the near future, and this will automatically force them out of the US stock market, as the Chinese regulator explains. According to Goldman Sachs, these changes will affect the interests of 233 Chinese companies with a total capitalization of $ 1,03 trillion. American investors have already invested at least $350 billion in the assets of Chinese companies.
The Chinese side argues that the corresponding US steps will not only limit the ability of foreign companies to enter the US capital market, but also undermine the confidence of global investors in this market, weakening the US position in the international arena. According to the CSRC, the new rules completely ignore the ongoing cooperation between US and Chinese regulators in the field of audit. Now, for many Chinese companies, the placement of shares on the Hong Kong Stock Exchange may become one of the few alternatives to the US capital market. JD, Alibaba and Baidu are already considering the possibility in light of recent events.
Source: 3dnews.ru