Trump’s Showdown With Red China Should Kill Wall Street Traitors’ $7 Billion CATL Deal

April 10, 2025

For a dozen years, millions of U.S. investors have unwittingly had their pensions, college savings and other funds used to underwrite companies working for the Chinese military. That means they’ve helped our mortal enemy buy the weapons that may be used to kill them – and countless other Americans.

The latest example of this treason is the Wall Street-backed initial public offering of Contemporary Amperex Technology (CATL), the world’s largest producer of batteries for electric vehicles and military applications.

In February, the Pentagon added CATL to its blacklist of companies deemed to be working with the Chinese military, barring it from Department of Defense’s contracts. Yet, JPMorgan, Bank of America, Goldman Sachs, and Morgan Stanley among others, have signed on to raise as much as $7 billion for this Communist Chinese military affiliated company.

President Trump has announced an America First Investment Policy to end this insane practice. But top Wall Street leaders like Jamie Dimon, Brian Moynihan, Ted Pick and David Solomon are helping to raise at least another $7 billion for CATL. Their “China First” policy subverts Mr. Trump’s policy and threatens our national security.

But now there may be a new approach that patriotic Americans can demand the government use to shut down this deal.

The legal framework surrounding IPOs ensures a fair and transparent process. In the United States, the Securities Act of 1933 mandates full disclosure of material information and prohibits fraudulent activities in securities transactions. This act requires companies to register their securities with the SEC and provide a detailed prospectus.

However, it appears that President Trump’s confrontation with Communist China over its unfair trade practices and the resulting increase in tariffs constitutes what is known as a “material change” in the environment for the CATL initial public offering (IPO) that must be disclosed to potential investors.

Companies often face legal challenges, with securities fraud lawsuits being a common concern. These arise when investors allege that a company has made false or misleading statements about its financial health or business prospects, violating securities laws.

Risk factors disclosed in IPO documentation guide potential investors through uncertainties a company may face. These disclosures highlight challenges that could impact the company’s financial health and operational viability.

Market risks are a primary concern, with companies detailing how fluctuations in economic conditions or interest rates might affect their business. For instance, a company reliant on imported materials might face cost pressures due to currency volatility, impacting profit margins. A company projecting a major portion of its profits to come from exports would also need to disclose such risks as increases in tariffs or other trade barriers affecting projected profits.

CATL’s planned Hong Kong listing received the green light from Communist Chinese securities regulators on or about March 25. To date, we can find no publicly disclosed accounting by CATL’s dealmakers for the risk associated with President Trump’s America First Investment Policy or for the material change in the business environment engendered by the current tariff increases and general uncertainty of the trade relations between Communist China and United States.

Of course, such a disclosure to amend the IPO might be sitting at the printer right now, or it may be premature to expect it to be shared with the small retail investor such as us, given the IPO will be issued on the Hong Kong Stock Exchange.

But CATL’s Wall Street dealmakers are planning to raise as much as $7 billion from American investors, so in our view those questions must be answered.

Paul Atkins has been nominated to serve as Chairman of the Securities and Exchange Commission (SEC) but so far has not been pressed on whether the SEC will take a role in reviewing the CATL deal for compliance with President Trump’s America First Investment Policy or whether there is a need to disclose the material change in the company’s business prospects engendered by the current trade war with Red China.