Chinese Leaders Split Over Releasing Blacklist of U.S. Companies

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Were exclusively reporting on a new development in the ongoing battle between Washington and Beijing over technology. China. Has Been Working on a blacklist that could punish American tech companies, but there's disagreement at the highest levels of China's leadership over whether they should issue a blacklist before or after the US election, our correspondent Leyla way has been reporting on this issue and joins us now Ling looking forward to this conversation. So welcome to the PODCAST. Thank you mark. So the one thing that has struck me is the fact that China has been very up front about this notion of a blacklist. How did it come about and what's the goal behind it sir? You're right China announced as intention to create. Unreliable entity list backing made last year but they have really kept to the whole process secretive. So what happened backing May to sell? Tin Soon, after Washington released entity list, basically restricting Weiwei, big Chinese, telecom giant, restricted hallways excess to US components and technology. So basically China's move was to match the trump administration's stepped up sanctions and crack down on Chinese companies. Especially, some of the best known technology companies so is part of the whole tit for tat strategy. The Chinese government has been using everything's the trade war broke out and explain what China may be thinking about as it considers the consequences of a blacklist. So this. Is This entity realize basically is part of China's ways to hit back at the US but they have to be very careful in terms of hall heart they push back right because the leadership really is also a dilemma on one hand they want to satisfy the urge to do something to hit back at the. US. On the other hand there's still wary of completely destroying the relationship which would hurt the Chinese leadership to at home politically and would also heard China's economy as well. So where do things stand currently because in your reporting, you said that leaders are hesitant to pull the trigger to this day. We still do not know which American firm the for for infirm is on the list because the Chinese leadership has intentionally kept it a secret of process you know on one hand you know just by announcing this list, they managed to keep foreign companies especially American firms on the actions on the other hand. Dad Really reflects the internal debate that currently is going on within the Chinese government. You have one faction officials who think, Oh, we should release the names as soon as we can. To really protect our rights and our stove and t just stand up to the American hack mom, and then you have another group of Fitch shows senior officials who are arguing we should try not to provoke trump any stretching the further you know we should be really cautious because you know the stakes very high. If you know there's a very high risks dead, the trump administration would step up sanctions again, potentially targeting even more Chinese firms that would really hurt China's economy main industries significantly. Politically speaking, these are tough times between the US and China with this list. Is there a risk of making things perhaps even worse? Definitely there's a risk that the mere disclosure of the existence of this list would provoke the trump who stretching further because as you know the sentiment toward China Washington this days it's it's quite active as evidenced by the cascade of actions targeting Chinese companies or Chinese officials but China right now doesn't appear in any way that they would compromise in any way instead they basically hit back at. Every punch that has been thrown by the US government so even The idea that they are creating a list be seeing as. Provocation in the eyes of some US officials. So definitely, there is a big risk that this move this moved to simply disclose that the distance of the list is going to provoke Washington even more and lead to further escalation of tensions. I think this discussion is going to continue for quite some time the journals

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