The Chinese government is considering building a new stock exchange to attract overseas-listed companies, according to Reuters.

According to reports, China’s State Council has asked the top securities regulator to take the lead in studying how to design a stock exchange for Chinese companies listed in offshore markets such as Hong Kong and the U.S.

The government hopes the initiative would also attract globally renowned companies such as Apple and Tesla, providing them a new option for listings and stock exchanges.

At present, talks for the plan are still in early stages, and a time frame and location are not to be determined.

Reuters said that more than 10 U.S.-listed Chinese firms have made secondary listings in Hong Kong in the last year. As tensions grow between China and the U.S., the latter has tightened its auditing standards for Chinese listed companies. It means that the dilemma of Chinese listed firms will continue.

Source: https://www.reuters.com/article/china-stock-exchange/exclusive-china-considering-new-bourse-to-attract-overseas-listed-firms-sources-idUSL4N2LR1HJ