U.S. Lawmakers Call for Reassessment of Hong Kong’s Banking Sector Over Financial Crime Concerns

A bipartisan letter to Treasury Secretary Janet Yellen accuses Hong Kong of aiding authoritarian regimes through illicit financial practices since Beijing's 2020 national security law.

• U.S. lawmakers claim Hong Kong has transitioned from a trusted financial hub to a key player in an 'authoritarian axis' involving China, Russia, Iran, and North Korea.
• The letter highlights alleged practices such as re-exporting banned technology to Russia, facilitating Iranian oil purchases, and managing illegal trade with North Korea.
• Research cited by lawmakers indicates 40% of goods shipped from Hong Kong to Russia in 2023 included high-priority items like semiconductors critical to Russia's war efforts.
• The lawmakers request a Treasury Department briefing on current U.S. banking ties with Hong Kong and potential policy changes to address these risks.
• The concerns come shortly after a Hong Kong court sentenced 45 opposition figures to lengthy prison terms under the national security law, further straining U.S.-Hong Kong relations.

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