“We welcome these new members to our union and will support them in entering into collective bargaining to reach a fair contract,” said Hunt. In seeking representation by the USW, Varsteel workers spoke of the need for a useful and collective voice to address problems and concerns about the work they do. These include health and safety, wages, social benefits and working conditions. U.S. President Donald Trump has signed a law calling for the removal of foreign companies that do not meet the same transparency standards imposed by financial market authorities on U.S. state-owned enterprises. Why it matters: The Foreign Companies Accountable Act is targeting Chinese companies and has received few strong bipartisan endorsements in the United States. Congress before Trump`s desktop arrives. The law states that delisting could occur if a particular company fails to comply with audit inspections for three consecutive years. The Chinese government does not allow the board of directors to conduct audit inspections of Chinese companies listed in the United States.
Audit inspections are carried out on other companies listed in the United States by the Public Company Accounting Oversight Board, created in the wake of accounting scandals such as the one that blew up Enron in the early 2000s. U.S.-listed Chinese companies have been implicated in financial scandals in the past — including Luckin Coffee Inc . ADR (OTC: LKNCY) this year, which led to a nasdaq delisting. Sixteen Chinese companies have moved away from listing since February 2019, according to a government report in October. Carson Block, who has made a short seller by investigating Chinese companies, called for the removal of Chinese companies and told Bloomberg last month: “It`s China and the promotion of Chinese stocks, a manipulation fraud machine laughing at the SEC.” Then the markets are now waiting for all the messages regarding certain delistings. The bill could affect 217 Chinese companies, including popular stocks like Alibaba Group Holding Ltd – ADR (NYSE: BABA), JD. Com Inc (NASDAQ: JD), Nio Inc – ADR (NYSE: NIO), Xpeng Inc – ADR (NYSE: XPEV) and Li Auto Inc. (NASDAQ: LI). But due to the three-year compliance period provided by law, delistings may not be imminent.
The author of this article owns shares of Luckin Coffee and an inverted ETF that tracks the bearish performance of Chinese companies in Hong Kong. Photo: Xpeng Motor Technology Ltd.Learn more about Benzinga * Click here for Benzinga`s options trading * Klarna could follow Confirm stocks by delaying the expected IPO “Buy Now, Pay Later” Fintech * FTSE Russell drops 8 Chinese companies from certain indices, in response to the US blacklist (C) 2020 Benzinga.com. Benzinga does not provide investment advice….