Is China Really Trying to Prevent Foreign Ownership?

Is China Really Trying to Prevent Foreign Ownership?

In November, a commission created by the US Congress to track and anticipate threats from China recommended prohibiting US investment in VIEs linked to Chinese entities or, at the least, more prominently flagging the risks involved to investors.

China stopped short of a ban on VIEs when it unveiled its sweeping regulations governing overseas share sales at the end of 2021, but the rules make the structure less relevant because such listings will also be supervised by Beijing.

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