The New York Stock Exchange announced Thursday it will delist three Chinese companies identified as being affiliated with the Chinese military.
The announcement was made to comply with a U.S. executive order barring American investments in Chinese firms owned or controlled by the military, per Bloomberg. It was signed by President Donald Trump in November.
The three telecommunications companies – China Mobile Ltd., China Telecom Corp Ltd., China Unicom Hong Kong Ltd. – will be suspended from trading sometime between Jan. 7-11.
The three companies generate the entirety of their revenue in China and have no meaningful presence in the U.S. except for their listings on the exchange. They have separate listings in Hong Kong.
The executive order was an attempt to pressure Beijing over abusive business practices. The order prohibited U.S. investors from buying and selling shares in a list of Chinese companies designated by the Pentagon as having military ties.
The order said the People’s Liberation Army is a threat to the U.S. and is “increasingly exploiting United States capital” to gain an edge in its military-industrial complex, per Axios.
Chinese officials have threatened to respond to previous Trump administration actions with their own blacklist of U.S. companies.
The NYSE announcement, late on New Year’s Eve when many people are focused elsewhere, could signify the latest escalation in tensions between the U.S. and China.