BANNED IN US, PLA-LINKED FIRMS FUNCTIONING IN INDIA
The United States has added many new companies on the list of those which it considers as “Communist Chinese companies” and has found evidence that shows them to be either owned or controlled by the Chinese People’s Liberation Army (PLA). Notably, almost all these companies are either operating in India or are working to make an entry.
The companies that are on the US list are now open to various levels of sanctions under Executive Order 13959, signed on 12 November 2020 by US President Donald Trump, which addresses the “Threat From Securities Investments That Finance Communist Chinese Military Companies”. Apart from these companies not being allowed to operate in the US, their business dealings with countries that are considered as close US allies, including India, are also likely to be affected in the coming weeks. In the last couple of years, India has signed multiple highvalue strategic and defence deals that allow it to use sophisticated US assets like never before.
In the recently released list that was made public on 28 December by the Office of Foreign Assets Control (OFAC), which is a financial intelligence and enforcement agency of the US Treasury Department, a total of 35 Chinese companies have been identified as entities who are closely working with the PLA.
The names of these companies are Aero Engine Corporation of China, Aviation Industry Corporation of China (AVIC), China Academy of Launch Vehicle Technology (CALT), China Aerospace Science and Industry Corporation (CASIC), China
Aerospace Science and Technology Corporation (CASC), China Communications Construction Company (CCCC), China Construction Technology Co. Ltd. (CCTC), China Electronics Corporation (CEC), China Electronics Technology Group Corporation (CETC), China General Nuclear Power Corp, China International Engineering Consulting Corp. (CIECC), China Mobile Communications Group, China National Chemical Corporation (Chemchina), China National Chemical Engineering Group Co., Ltd. (CNCEC), China National Nuclear Corporation, China
National Offshore Oil Corporation (CNOOC), China North Industries Group Corporation (Norinco Group), China Nuclear Engineering & Construction Corporation (CNECC), China Railway Construction Corporation (CRCC), China Shipbuilding Industry Corporation (CSIC), China South Industries Group Corporation (CSGC), China Spacesat, China State Construction Group Co., Limited, China State Shipbuilding Corporation (CSSC), China Telecommunications Corporation, China Three Gorges Corporation Limited, China United Network
People pose for photographs next to an installation at a mall on New Year’s Eve, amid the spread of Covid-19, in Mumbai, on Thursday.
Communications Group Company Limited, CRRC Corporation, Dawning Information Industry Co (Sugon), Hangzhou Hikvision Digital Technology Co., Ltd. (Hikvision), Huawei, Inspur Group, Panda Electronics Group, Semiconductor Manufacturing International Corp. (SMIC) and Sinochem Group Co Ltd.
Most of the companies mentioned on the list, including the much talked and written about telecom giant Huawei, have a sizable presence in India.
A few days ago, the Competition Commission of Inthe