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872. Does Executive Order 13959, as amended (E.O. 13959), require United States persons to divest their holdings of publicly traded securities, or any securities that are derivative of, or are designed to provide investment exposure to, such securities of Communist Chinese military companies?
Yes. With respect to any Communist Chinese military company as defined in section 4(a)(i) of E.O. 13959, section 1(b) states that, effective at 11:59 p.m. eastern standard time on November 11, 2021, possession of any such securities by a United States person is prohibited. With respect to any person that is determined to be a Communist Chinese military company pursuant to section (4)(a)(ii) or (iii) of E.O. 13959, section 1(c) states that, effective at 11:59 p.m. eastern standard time on the date 365 days after the date of such determination, possession of any such securities by a United States person is prohibited. United States...
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Notes:
1) See consolidated commentary on EO 13959, as amended by EO 13974, refer to Consolidated Comment on the CCMC EO, as Amended. See section II(vii) for discussion of the operation of the "divestment carveout."
This FAQ reflects the way in which the EO amending EO 13959 altered the scope of the prohibition of EO...