Chinese companies shrug off Biden move to extend US blacklist

Analysts warn hawkish stance may hinder Wall Street banks' rush into China

Most of the 59 companies in the new U.S. blacklist are state-owned enterprises in areas where China is working to challenge U.S. supremacy. (Nikkei montage/AP)

NARAYANAN SOMASUNDARAM, CHENG TING-FANG and LAULY LI, Nikkei staff writers

June 4, 2021 19:25 JST

HONG KONG/ TAIPEI -- Investors on Friday shrugged off U.S. President Joe Biden's blacklisting of 59 Chinese companies, even as analysts described the move as a "more enforceable" extension of a Trump-era ban on U.S. investment in military-linked entities.

Biden's move also drew warnings that it could hinder American banks' attempt to break into the world's second-biggest economy as it opens up its capital markets.