Delisting law The House has approved legislation, already passed by the Senate in May, that could lead to the eventual delisting of Chinese companies that won't let U.S. regulators review their financial audits (think Alibaba, Baidu and so on.) The bill, which has bipartisan support, now goes to President Trump, for whom it will likely serve as a parting shot at Beijing. Fortune
Recently several U.S.-listed Chinese firms have carried out secondary listings in Hong Kong, which would become more frequent if the law takes effect.
About time!! Sign, sign, sign!! Godspeed Donald, godspeed! Can't believe they were allowed to list in the first place and investors actually dared to put their money many times their retirement money into companies that don't even report their financial situation according to our accounting principles!
Yeah I know. They have a 3-year window to decide to whether let the US regulators conduct the financial audit of their financial statements and how much do they let them. And after 3 years, if they still don't comply then they are delisted from the US exchanges. To me, this is far too lenient. To me, they should be given 6 months to 1 year depending on the size of the company to comply starting with their next financial statements and if they don't, then they are delisted immediately. They have been allowed to trade on US exchanges without proper scrutiny for far too long and have resulted in far too much damage to US investors and many times pensioners. If they are to be allowed to take on investors in the US markets they should be expected to play by the same rules as the rest of the US companies otherwise it's not fair. And if China doesn't like it and want to retaliate, then let them. All that country knows is to live in the past and to see everything from a historical lens and then to revenge and retaliate. Sooner or later, the west will have to face China, again. Might as well start now and get it over with.