Amending Executive Order 13959Addressing the Threat From Securities Investments That Finance Communist Chinese Military Companies
Executive Order 2021-01228
|Signed on January 14, 2021
ChinaDefense45th Presidency
What it means
This order amends a previous executive order restricting U.S. investments in Chinese companies linked to China's military. It extends divestment deadlines and clarifies definitions of prohibited transactions involving securities from these companies.
Expected impact
- Enhanced restrictions on U.S. investments in Chinese military-affiliated companies
- Extended timeline for American investors to divest from securities of identified Chinese military companies
- Greater authority for the Secretary of Defense and Treasury to identify and list companies meeting the criteria
- Potential economic pressure on targeted Chinese companies as U.S. investors withdraw their capital
- Possible diplomatic tensions between the U.S. and China as part of broader economic competition