U.S. Senator Calls for Further Probe of China’s Wanda (Reports)

Patrick Frater
Variety

Democrat Senator, Chuck Schumer is calling for an increased investigation of the Hollywood ambitions of China’s Dalian Wanda group.

In a letter seen by The Wall Street Journal, Schumer, who is the Senate minority leader, says he fears that Wanda’s deal-making is orchestrated by the Chinese government.

“I am concerned that these acquisitions reflect the strategic goals of China’s government,” he wrote. The letter was addressed Treasury Secretary Jack Lew, U.S. Trade representative Michael Froman and U.S. President-elect Donald Trump.

Schumer’s cry may find an echo with Trump. In his campaign, Trump frequently made assertions about China’s actions and the motives behind them and called for action against Chinese acquisition in the States.

“While China’s government has aggressively pursued policies that encourage strategic acquisition in the U.S., U.S. companies continue to face steep barriers to market access in China,” the letter said.

Wanda has been the Chinese company that has gone furthest in buying its way into Hollywood. It acquired the AMC cinema chain in 2012, Legendary Entertainment early this year and in recent months has agreed the $1 billion purchase of Dick Clark Productions and (through AMC) a deal to buy the Carmike theater chain.

Trump also railed against supposed manipulation of China’s currency. Now at some RMB6.95 to the U.S. dollar, the Chinese Yuan is close to its lowest rate against the greenback in some eight years.

 

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