Continue reading this on our app for a better experience

Open in App
Home News Geopolitics

Hong Leong Asia unit Guangxi Yuchai included in US 'unverified list'

The Edge Singapore
The Edge Singapore • 2 min read
Hong Leong Asia unit Guangxi Yuchai included in US 'unverified list'
Photo: China Yuchai's corporate presentation
Font Resizer
Share to Whatsapp
Share to Facebook
Share to LinkedIn
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

Guangxi Yuchai Machinery, an indirect subsidiary of Singapore-listed Hong Leong Asia, has been included by the US government in its so-called “Unverified List”.

Guangxi Yuchai is a subsidiary of New York-listed China Yuchai International. It specialises in building diesel engines. Hong Leong Asia is the manufacturing and building materials holding company of the Kwek family.

The Unverified List is maintained by the Bureau of Industry and Security in the US Department of Commerce.

While most of the dozens of companies in the list are from China, they come from other countries such as Armenia, Canada, Switzerland and Singapore as well.

According to Reuters, companies are added to the unverified list because the US could not complete on-site visits to determine whether they can be trusted to receive sensitive technology exports from the US.

US inspections of Chinese companies require the approval of China's commerce ministry.

See also: Whether it’s Biden or Trump, Europe knows it must stand alone

“The company understands that an entity’s listing on the Unverified List does not mean that US exporters cannot engage with the parties listed,” says China Yuchai on Oct 16.

“Rather, the US exporters will have to conduct additional due diligence to verify end use or end users of final products before exporting the goods,” adds China Yuchai.

China Yuchai “understands” that its Guagnxi Yuchai has been proactively addressing the matter and that as at Oct 16, Guangxi Yuchai’s business is operating normally with no major supply chain impact, says China Yuchai.

See also: Starmer’s Labour heads for big win, UK election exit poll says

China Yuchai’s US quoted shares closed at US$7.05 on Oct 16, down 2.49% for the day and down 48.39% year to date.

Hong Leong Asia shares closed at 69 cents on Oct 16, unchanged for the day and down 19.41% year to date.

Loading next article...
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
© 2024 The Edge Publishing Pte Ltd. All rights reserved.