Fresh U.S. sanctions to impact Chinese firms with links to People’s Liberation Army

Image: Monica Volpin / Pixabay

The U.S Treasury Department issued regulations to implement sanctions on 59 Chinese military-linked companies to prevent them from benefiting from the U.S. financial markets, The Washington Times reports. The Pentagon had earlier designated these companies as military entities.

The black-listed Chinese companies with direct links to the People’s Liberation Army (PLA) are increasingly exploiting the U.S. financial markets to benefit the Chinese military and intelligence. All the while, these Chinese corporations raise capital by seeking private and corporate U.S. investors. The companies include several major Chinese aerospace and telecommunications firms, such as Huawei Technologies.

Until recently, millions of private American investors have been unaware of the military connections of these Chinese firms. Among these companies are contractors for the Chinese military, construction companies that have built military bases on disputed islands in the South China Sea, advanced weapons manufacturers, and companies selling military goods to North Korea and Iran, The Washington Times reports.

By Anne Kader