Write off the largest companies for the manufacture the chips in China of the New York Stock Exchange

Plan largest industry, chip and semiconductor in China SMIC to write off the same from the New York Stock Exchange, amid the trade war between China and the United States, in the step of finish incorporated as a public company in the United States 15 years ago, with the extension of the trade war into the technology sector.

She said SMIC, based in Shanghai: the resolution is not associated with tensions escalating between the United States and China, but lower trading volume, and the exorbitant costs, adding that they had informed the NYSE of its intention to progress the request on June 3, to delete its shares of stock.

Referred SMIC – in the file submitted to the stock exchange of Hong Kong, where they are listing their shares – to the low trading volumes on its stock, the higher the costs to maintain the listing, and compliance with reporting requirements, and the relevant laws as the reason for the fall.

The statement said: it is expected that the process of voluntary removal after 13 June, the trading of its securities, the U.S. will get to the market outside the stock exchange, the SMIC studied this move for a long time, and has nothing to do with business.

The Council of management of the company on the move, despite the fact that SMIC also need to then implement the plan from the Securities and Exchange Commission (SEC).

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The company has labs in Beijing, Tianjin, Shenzhen, gene, Italy, also has offices in the United States, Europe, Japan, Taiwan, and Hong Kong.

And exceed the trading volume of the shares of SMIC million shares yesterday, Friday, the first time up to this level since February 2018.

The move snap in time, which had intensified when Washington its efforts to cut U.S. technology for China, where the trade negotiations between the two largest economies in the world to a standstill.

Affect trade war America, China is increasingly on the technology, it put the administration of US President Donald Trump Chinese company Huawei in the Black List, which prevents them from buying technologies and products American home.

Information indicates the possibility of expanding U.S. sanctions to include up to five Chinese companies for video surveillance, including the largest ones, Hikvision Hikvision, Zhejiang Dahua Technology Zhejiang Dahua Technology.

China is trying to combat these challenges, America by enhancing its political support for industry chip local; in order to reduce its dependence on imports.

Announced that the Chinese Ministry of finance this week about exempting companies of the Integrated Circuit Industry Chinese software developers, who pay corporate taxes for two years starting from 2019, will be reduced the tax rate to half in the next three years.

The government supports the Chinese company SMIC – amounting to a market capitalization of $ 5.4 billion – by key contributors, and representatives of state-owned companies, or investment funds associated with the state.

And investment fund, China’s National Integrated Circuit Industry, which was established by the government in 2014; to promote the development of local technologies, and obtain patents and designs, a stake in SMIC.

Enjoying the SMIC relations with Qualcomm, a worldwide leader in the manufacturing of the chip, through a joint venture company headquartered in Shanghai, which focuses research and development on chip design of the next generation.

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