US authorities are considering banning investments in Alibaba and Tencent following a ban on trading with eight Chinese apps
Senior US officials, including the State Department, the Department of Defense and the Treasury, are discussing whether to ban investments in Alibaba and Tencent.

The content presented is still considered confidential and relevant plans are being considered, not excluding the possibility that it may not be approved. In addition, the US authorities also partly focus on the discussion on capital market impact.

Though Alibaba and Tencent are amomg China's most valuable companies, shares of Alibaba and Tencent are widely held by American investors.

During the last few months of President Trump's term, the authorities continued to step up their efforts to withdraw US capital from Chinese companies.

Taking measures in haste sometimes causes market turbulence and price volatility. For example, the New York stock market has changed twice this week as a result of the decision to delete three major telecom companies in China.

Previously, Mr. Donald Trump issued an executive order in November on the grounds of "national security", asking investors to withdraw from "Chinese companies affiliated with the Chinese military".

On January 5, Trump signed a ban on transactions with eight Chinese apps, including Alipay and Tencent's e-wallet, under the pretext of "protecting US citizens' data privacy and confidentiality". However, whether this policy will be implemented or come into effect will be decided by Biden.

In response to Trump's executive order banning transactions involving eight Chinese software applications including Alipay and WeChat Pay, Chinese Foreign Ministry spokesman Hoa Xuan Oanh said this was a generalization of US concept of national security and abuse of power.

Hoa Xuan Oanh thinks that the development of science and technology should be a good motive and serve the progress and happiness of all humanity, and should not become a tool for political manipulation.

“We call on the US to truly respect the principles of a market economy and fair competition, and to comply with international economic and trade rules. Provide an open, fair and non-discriminatory business environment for companies from many different countries, including Chinese companies that invest and operate in the USd,” Ms. Hoa Xuan Oanh said.
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