WASHINGTON — The Biden administration issued a blanket warning Friday to U.S. corporations about the challenges of accomplishing business in Hong Kong as China continues to clamp down on political and economic freedoms in the territory.
4 Cabinet organizations — the departments of State, Treasury, Commerce and Homeland Security — launched the nine-web site advisory that alerts firms about the shifting legal landscape in Hong Kong and the chance that engaging with Hong Kong business enterprise could incur reputational and legal damages.
At the identical time, Treasury declared sanctions from seven Chinese officials for violating the phrases of the 2020 Hong Kong Autonomy Act, which phone calls for asset freezes and other penalties versus people who take part in the crackdown.
President Joe Biden experienced previewed the new advisory on Thursday, telling reporters at the White Residence that the business environment in Hong Kong is “deteriorating” and could worsen.
“Businesses, individuals, and other individuals, like educational establishments, research service providers, and buyers that work in Hong Kong, or have exposure to sanctioned men and women or entities, should be informed of improvements to Hong Kong’s legal guidelines and polices,” reported the see, which is titled “Risks and Factors for Businesses Operating in Hong Kong.”
“This new lawful landscape … could adversely influence corporations and people today running in Hong Kong. As a outcome of these improvements, they really should be informed of opportunity reputational, regulatory, economic, and, in specific situations, authorized risks linked with their Hong Kong functions,” it claimed.