The U.S. House of Representatives is set to vote on bipartisan legislation that would impose restrictions on Chinese companies listed on U.S. exchanges, including requiring certification that they’re not under the control of a foreign government.
The bill’s sponsors say the aim is to ensure foreign companies traded in America are subject to the same independent audit requirements that apply to U.S. firms. In doing so, the measure threatens to boot Chinese companies, including behemoths like Alibaba Group Holding Ltd. and Baidu Inc., out of American stock markets.
The Holding Foreign Companies Accountable Act (S. 945) will be considered Wednesday under a streamlined process that limits debate on the House floor, allows no amendments and requires approval by two-thirds of members present and voting to pass.
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