China nurtures VC investments in specific tech areas

Author: | Published: 16 Jul 2018

The PRC is putting policies in place to foster private investment into targeted technology areas

On June 18, the US Senate voted to reinstate a crippling sanction on ZTE Corporation, one of the largest telecommunication equipment manufacturers in the world. This rebuked an earlier agreement by the Trump administration to suspend and modify an order of denial of export privileges that had been imposed by the US Department of Commerce on ZTE in April 2018 for violation of US export sanctions. The denial order, which effects a ban on US firms to supply ZTE with components and technology without special licence for seven years, was so wide-ranging that ZTE had to suspend its major operations in May. To avoid the collapse of a Chinese state-owned enterprise that is listed on both the Shenzhen and Hong Kong stock exchanges, state power came to the rescue. In early June, as part of...