China to change privacy rules on offshore company listings

A draft rule released by the China Securities Regulatory Commission is an attempt by Beijing to resolve a dispute with Washington that could lead to the delisting of 270 Chinese companies on U.S. exchanges in 2024.

China's updated rules would remove requirements that on-site inspections of Chinese companies listed abroad be conducted primarily by Chinese regulators.

This could open the door to inspections by U.S. regulators, who require full access to the audit working papers of such firms kept in China.