In a letter to the SEC, Senator Rick Scott (R-Fla.) expressed concerns about Zeekr, a Chinese electric vehicle maker that recently started trading on the New York Stock Exchange (NYSE).
Senator Scott highlighted Zeekr’s parent company, Zhejiang Geely Holding Group, and its close ties to the Chinese Communist Party (CCP).
He raised questions about the SEC’s process in determining and disclosing Zeekr’s connections to the Communist China regime.
Senator Scott referenced a recent Senate Finance Committee report that revealed some automakers have troubling links to Chinese supply chains tainted with forced labor and human rights violations.
Given Zeekr’s Chinese origins and ties to the CCP, Senator Scott questioned how the SEC can be sure that the company is not involved in supply chains reliant on forced labor.
The committee report named BMW, Jaguar Land Rover, and Volkswagen AG for using parts from a company sanctioned for forced labor violations under the Uyghur Forced Labor Prevention Act.
To address concerns about Chinese firms’ disclosures to the SEC, Senator Scott introduced the Securing American Financial Exchanges (SAFE) Act and the Transaction and Sourcing Knowledge (TASK) Act.
The SAFE Act would require specific disclosure requirements for Chinese companies seeking IPOs on U.S. exchanges, while the TASK Act focuses on supply chains linked to forced labor from Xinjiang.
Senator Scott urged the SEC to provide answers regarding Zeekr’s financial support from the CCP, supply chain practices, and business dealings with entities on U.S. government entity lists.
He emphasized the importance of informing American investors about companies like Zeekr to protect national security and the integrity of U.S. capital markets.
The Epoch Times has contacted Zeekr for comment on the matter.
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