International Trade and Policy Alert: New Treasury List Supersedes DOD Communist Chinese Military Companies List for Purposes of Securities Trading Ban

On June 3, 2021, US President Joseph Biden issued Executive Order 14032, “Addressing the Threat From Securities Investments that Finance Certain Companies of the People’s Republic of China” (EO 14032), substantially amending the prohibitions originally contained in Executive Order 13959 (EO 13959), issued by President Trump on November 12, 2020 (amended January 13, 2021). Original EO 13959 prohibited US persons from trading in securities of entities designated by the Department of Defense (DOD) as a Communist Chinese Military Company (CCMC), pursuant to Section 1237 of the Fiscal Year 1999 National Defense Authorization Act (1999 NDAA). Our publication discusses the EO’s business implications and effective dates. Our multidisciplinary and multijurisdictional team stands ready to answer any questions.