China asks US to stop accusations against its firms

Beijing, Dec 5 (IANS) China on Monday urged the US to stop making “groundless” accusations against Chinese companies and politicising normal acquisition cases.

Foreign Ministry spokesperson Lu Kang made the remarks in response to US President Barack Obama’s blocking of a Chinese company’s purchase of the US business of German chip equipment maker Aixtron, Xinhua news agency reported.

Obama issued an order directing China’s Fujian Grand Chip Investment Fund to “fully and permanently abandon” the proposed acquisition of Aixtron’s US business, the US Department of Treasury said in a statement last week.

The Committee on Foreign Investment in the US, which reviews foreign purchases of US companies, and Obama assess that “the transaction poses a risk to the national security of the United States that cannot be resolved through mitigation,” the statement said.

“The Chinese company’s acquisition is purely market behaviour,” said Lu. China is opposed to politicisation of and political intervention in normal acquisitions, he added.

Lu urged the US to offer a fair environment and convenience for investment by Chinese companies.