In the latest escalation of tensions between the United States and China, the Donald Trump administration has decided to pull out billion dollars worth of American pension fund investments in China.
On Thursday, US President Donald Trump confirmed that his administration has asked for the withdrawal of billions of dollars of pension fund investments in China.
“Billions of dollars, billions… Yeah, I pulled it back,” Trump confirmed to Fox News after he was asked about reports that the US has decided to withdraw American pension funds in Chinese investment.
Responding to the issue of Chinese companies being listed in American stock markets, US President Donald Trump said the administration was looking at the issue very seriously. President Trump added, “It’s pretty amazing but here’s the problem with that. Let’s say we do that, right? So what are they going to do? They are going to move their listing to London or someplace else. You see?” Trump said.
“Let’s say you want to get tough. You know everyone wants to be a tough guy. Look I am the toughest guy but what happens is they say ‘okay, we will move to London or we will go to Hong Kong’,” he said.
There has been some controversy in the US regarding Chinese companies like Alibaba being listed at the New York Stock Exchange and the NASDAQ. Reportedly, the Chinese companies listed at the New York Stock Exchange do not report earnings just like American companies do.
China seeking action against US lawmakers
China, which has been receiving wrath across the world for unleashing the Wuhan Voronavirus is now threatening US lawmakers for introducing legislation in the Senate proposing sanctions against China for its handling of the coronavirus outbreak.
“The Chinese government is lashing out at those who are appropriately trying to hold them accountable for intentionally misleading us about the nature of the novel coronavirus, where it was spreading and how quickly things were getting out of control. I consider their threats a badge of honour, Congressman Jim Banks said.
United States’ diplmotic war with China
China has been facing severe criticism from various other countries, more intensely from Washington over the way it handled the pandemic.
Earlier, Trump had triggered a diplomatic war with China by repeatedly referring the Novel Coronavirus as Chinese Virus. Several leaders in the United States have been highly critical of both China and WHO of their handling of the situation, accusing them of hiding vital information and underplaying the crisis at the beginning. US President Trump had also expressed doubt over the accuracy of Chinese statistics for cases and deaths. He had also said that he has ‘high degree of confidence’ that Coronavirus originated in Wuhan Institute of Virology, China.