https://news.cgtn.com/news/2020-11-13/Trump-s-new-executive-order-is-largely-symbolic-and-a-distraction-VnsZNRVmVO/index.html
On the evening of November 12, U.S. President Donald Trump signed an executive order which prohibited formal investments, via shares and securities, in 31 Chinese companies which are purportedly linked to the China's People's Liberation Army (PLA).
Coming into force in January, American investors will no longer be able to buy shares, invest in funds or portfolios which involve these firms, which include companies such as Huawei and Hikivision.
The news came as the U.S. Department of Commerce introduced a "stay" on a previous executive order which demanded ByteDance divest in the popular video-sharing app TikTok. With the deadline due to pass on November 13, the department stated it will no longer enforce the order and will wait until a process of legal action is completed, which has tilted in ByteDance's favor.
What is the connection between the two developments? Trump is known for tailoring the news narrative to suit his agenda, and the likely failure of his effort to extort TikTok from ByteDance represents an obvious embarrassment to his China agenda.
The answer? To deliberately time something new on the same date designed to uphold the mantra of being "tough on China," bury the bad news and try to entrench the administration's foreign policy legacy.
The move is more symbolic than substantive, and has no meaningful impact on overall U.S.-China investment ties.
