Nasdaq’s listing plans will make it harder for small Chinese companies to go public in the U.S.

## Nasdaq Tightens the Reins on Chinese IPOs Amidst US-China Tensions

This article discusses the Nasdaq’s new listing requirements for Chinese companies, the implications of these changes, and the broader context of US-China economic and political relations.

• New Listing Requirements: The Nasdaq is implementing stricter rules for Chinese companies seeking to list in New York. These companies will now need to raise at least $25 million in their initial public offerings (IPOs).
• Reasoning Behind the Change: The move is a response to concerns about “pump and dump” schemes and manipulative trading practices associated with small Chinese IPOs. The Nasdaq also cites the difficulty of taking legal action against entities involved in potentially fraudulent activities.
• Impact on Chinese Companies: The new rules will make it more difficult for smaller Chinese companies to list on the Nasdaq.
• Broader US-China Tensions: The Nasdaq’s decision comes amid growing tensions between the US and China, including trade disputes and restrictions on technology exports.
• China’s Response: China has retaliated by imposing new tariffs on US optical fiber producers, signaling its willingness to respond to US actions.
• Economic Implications: The changes reflect a growing complexity in US-China business, trade, and investment relations.

For more details, you can read the original article on CNBC: [Nasdaq to make it harder for small Chinese companies to list in New York](https://www.cnbc.com/2024/08/08/nasdaq-to-make-it-harder-for-small-chinese-companies-to-list-in-new-york.html)