This Biden Administration As China continues to suppress Hong Kong’s political and economic freedoms, it issued a comprehensive warning to US companies on the risks of doing business in Hong Kong on Friday.
The four cabinet agencies-the State Council, the Ministry of Finance, the Ministry of Commerce, and the Department of Homeland Security-issued a nine-page announcement to remind companies of changes in Hong Kong’s legal landscape and the possibility of reputational and legal losses that may result from dealing with Hong Kong companies .
At the same time, the Ministry of Finance announced sanctions against seven Chinese officials who violated the provisions of the 2020 Hong Kong Autonomy Law, which requires asset freezes and other penalties for those involved in the crackdown.
President Joe Biden previewed the new advisory opinion on Thursday. He told reporters at the White House that the business environment in Hong Kong is “deteriorating” and may deteriorate.
The notice stated: “Businesses, individuals and other persons operating or contacting sanctioned individuals or entities in Hong Kong, including academic institutions, research service providers and investors, should be aware of changes in Hong Kong laws and regulations,” and the title is “Corporate Risks And precautions? Operating in Hong Kong”.
“This new legal environment…may have an adverse effect on companies and individuals operating in Hong Kong. Because of these changes, they should be aware of the potential reputation, regulatory, financial and, in some cases, laws related to their Hong Kong business. Risk,” it said.
The United States under the Trump and Biden administrations has determined that since the passage of the new national security law last year, Hong Kong no longer enjoys the major autonomy that Beijing has promised to respect mainland China over the past 50 years. It became a former British colony in 1997.
Therefore, Hong Kong no longer enjoys the preferential trade and business privileges of the United States, and certain Hong Kong officials have been sanctioned by the United States for their actions against democracy.
China is one of the rare areas where the Biden administration largely follows Trump’s policies.
Friday’s warning was issued after a similar warning issued earlier this week, which reminded U.S. companies that they may be liable for sanctions if they do business with Chinese entities operating in the western region of Xinjiang. China is accused of being in the western region of Xinjiang. Extensive suppression of Uyghur Muslims and other ethnic minorities.
The seven officials targeted for sanctions are Chen Dong, He Jing, Lu Xinning, Qiu Hong, Tan Tieniu, Yang Jianping and Yin Zonghua.
© 2021 Canadian Press
