US says Hong Kong’s China autonomy is gone, sowing trade doubt

The U.S. has certified that Hong Kong is no longer politically autonomous from China, a move that could have far-reaching consequences on the special trading status the former British colony has with the U.S., Secretary of State Michael Pompeo said.

“Hong Kong does not continue to warrant treatment under United States laws in the same manner as U.S. laws were applied to Hong Kong before July 1997,” Pompeo said in a statement. “No reasonable person can assert today that Hong Kong maintains a high degree of autonomy from China, given facts on the ground.”

The move on Wednesday was taken under the Hong Kong Human Rights and Democracy Act that President Donald Trump signed last year. It comes as China’s National People’s Congress is preparing to pass a national security law curtailing the rights and freedoms of Hong Kong citizens.

Pompeo’s decision opens the door for a range of options, from visa restrictions and asset freezes for top officials to possibly imposing tariffs on goods coming from the former colony. Other measures could include visa restrictions for Chinese Communist Party officials.

“The United States stands with the people of Hong Kong as they struggle against the CCP’s increasing denial of the autonomy that they were promised,” Pompeo said.

China has denounced U.S. criticism of its moves on Hong Kong as interference in its affairs.