Trump administration bolsters order barring U.S. investment in Chinese firms

FILE PHOTO: A vehicle drives past the U.S. Treasury Department in Washington, D.C., U.S. December 13, 2020. REUTERS/Raphael Satter

WASHINGTON (Reuters) – The Trump administration on Monday strengthened an executive order barring U.S. investors from buying securities of alleged Chinese military-controlled companies, following disagreement among U.S. agencies about how tough to make the directive.

The Treasury Department published guidance clarifying that the executive order, released in November, would apply to exchange-traded funds and index funds as well as subsidiaries of Chinese companies designated as owned or controlled by the Chinese military.

Reporting by Alexandra Alper, Humeyra Pamuk and Karen Freifeld; Editing by Leslie Adler