China Cuts Back on US Private Equity Investments

In a significant move, Chinese state-linked companies are reportedly ceasing new investments in private firms headquartered in the United States. This development, as reported by the Financial Times, comes amidst escalating trade tensions between Beijing and Washington.

Impact on US Firms

The decision effectively blocks Chinese firms from committing funds to US-based private equity firms, marking a potential shift in cross-border investment flows.

Government Pressure

Sources indicate that the Chinese government's pressure, fueled by the ongoing trade war with the US, is the primary driver behind this investment halt.