US banks under pressure to take tougher stance on doing business with China

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US banks under pressure to take tougher stance on doing business with China

Chief executives at the largest US banks were under pressure from US lawmakers to take a tougher stance on doing business with the Chinese mainland amid growing tensions over the Taiwan question, according to a report on Thursday. In a hearing before the US House Financial Services CommitteeUS House Financial Services Committee on Wednesday, Bank of America CEO Brian Moynihan said we will follow the government's guidance, which has been for decades to work with China. If they change that position, we will immediately change it, as we did in Russia. Despite the US financial institutions' efforts to expand their business to benefit from China's financial sector opening-up, it is not surprising to see the US weighing severing ties between American and Chinese banks over the Taiwan question. Washington's recent moves, including US House Speaker Nancy Pelosi's visit to the island, the US Senate's review of The Taiwan Policy Act of 2022, and their remarks about defending Taiwan, indicate American politicians' growing hysteria over the Taiwan question. This may have something to do with the upcoming US midterm elections or Washington's attempt to use the Taiwan question to contain China's rise. American politicians want to coerce top US financial organizations to alienate the Chinese market. There is no doubt that China's financial markets may lose some capital, but the US banks may also have to deal with the worsening economic woes because of the poisonous decision from Washington. If the US banks are cut off from the Chinese market, it will affect American investment, weakening the position of US banks in the global financial markets and disrupt global financial stability. The US has used administrative measures to meddle normal market operations, a reflection of the US' unbridled abuse of its power that has already triggered growing antipathy among other countries and could undermine the US dominance in the global financial market that is one of the main pillars of its hegemony. The US insists on viewing China as its major rival and a long-term challenger, out of an incorrect perception of China. The US government has not had a lot of money because of the containment and suppression of China. No of America's domestic problems have been resolved or alleviated during the process. The Taiwan question is the most sensitive issue in China-US relations. China's position on the Taiwan question could not have been clearer: Taiwan is an inseparable part of China and the Taiwan question is related to the internal affairs of China. The US' provocative attempts over the Taiwan question have come one after another recently, which seriously challenged the three China-US joint communiqu s and undermined the political foundation of the China-US relationship. The United States political establishment's provocation of the Taiwan question is solely intended to halt China's development and rise on the world stage, but from an economic perspective, the growing tensions between the two major powers is benefit to neither party, while wide concern is triggered in the region. It is hoped that the US return to the right track of the three China-US communiqu s and to safeguard the political foundation of China-US relations.