Apple and NBA Expose Fantasy of China Delistings
The price of such a draconian measure is too high.
Wake up and smell the coffee. China's U.S. listings are here to stay.
Photographer: Gilles Sabrie/BloombergActions by the NBA, Apple Inc. and Activision Blizzard Inc. this week have served to underscore the financial might of China and the lengths to which U.S. companies will go to preserve their access to its giant market. That’s one big reason why threatened delistings of Chinese companies are almost certainly a fantasy. The cost is simply too high.
Trump administration officials have been discussing the idea among options to limit U.S. portfolio flows into China, Bloomberg News reported late last month. While a U.S. Treasury official said such a plan wasn’t in the works “at this time,” lawmakers are advocating for stronger investment restraints and greater scrutiny of Chinese companies traded on American stock exchanges.