American Think Tank Blasts 'Hawkish' Plan to Ban SOEs From Buying U.S. Firms

A proposal by a U.S. congressional panel to ban Chinese state-owned enterprises from buying U.S. firms was "hawkish" toward China, an American think tank said Friday, amid concerns over U.S. President-elect Donald Trump's protectionist stance.

Chinese state-backed companies should be prohibited from "acquiring or gaining effective control of U.S. companies" because they are used by Beijing "as a tool to pursue social, industrial, and foreign policy objectives," the U.S.-China Economic and Security Review Commission said Wednesday in its annual report to Congress.