Caixin Explains: Why Report to U.S. Congress Issues Warning about Chinese Internet Firms

(Beijing) – A U.S. congressional commission recently published a report that has been the topic of much discussion in China.

The report was published by the U.S.-China Economic and Security Review Commission, whose website says its job is to report on the national security implications of Sino-U.S. economic ties.

The commission recently issued a report warning investors about the risk of investing in U.S-listed Chinese Internet companies, and the timing of its release is noteworthy because e-commerce giant Alibaba Group Holding Ltd. is about to go public on the New York Stock Exchange, a listing that some expect to be the largest in U.S. history.