Chinese companies are being squeezed by lawmakers in both Beijing and Washington. American laws protect human rights, including the secrecy of correspondence, and oblige companies to provide reports to supervisory authorities.

Chinese business has faced new challenges. The Chinese government is tightening the screws, coming up with more and more restrictions that strangely conflict with American legislation. Thus, commercial companies must either leave US exchanges or look for possible loopholes. The new law on information disclosure will force companies to delist unless their audit documents are reviewed by US supervisors. Overall, Beijing's recent efforts to control corporate funding options and tighten security over consumer information have spooked overseas investors.

Due to tensions between the US and China, about two dozen companies, worth some $800 billion, have sought a dual listing in Hong Kong. Another 100 or so with a total market capitalization of about $400 billion, led by e-commerce company Pinduoduo, meet the Asian hub’s standards, according to Bank of America analysts. Half of them will relocate their center of trading in 2022. Indexers including MSCI and FTSE already use the Hong Kong price for Alibaba and other Chinese giants.