President Joe Biden will warn US companies this week about the risks they face when doing business in Hong Kong. That’s what insiders at the US government say to the British business newspaper Financial Times.
Risks include the possibility of China gaining access to data that foreign companies have stored in Hong Kong. In addition, a new law allows Beijing to take action against individuals or companies that comply with US sanctions against China. With these Chinese punitive measures, for example, the property can be seized.
According to the Financial Times, the White House believes companies are not taking risks associated with doing business in Hong Kong seriously enough. In addition, the United States has imposed sanctions on China over its crackdown on pro-democracy protesters and controversial security law in Hong Kong.
In addition, the US is also reportedly going to issue a new warning about the legal risks companies face with deliveries from China’s Xinjiang region. Former President Donald Trump warned last year that US companies should be sure not to buy products from Xinjiang that may have been used for forced labour by the region’s Uyghur Muslim minority.
In response to the Financial Times report, China said that the US should not meddle in domestic affairs in Hong Kong. Beijing also denies that Uyghurs are engaged in forced labour in Xinjiang.