China blocks Meta’s Manus deal, hitting the Singapore washing model
- Source
- Financial Times
- Time
- 6:21 AM
- Weight
- 95/100
China’s regulatory intervention has reportedly blocked a deal between Meta and Manus, a technology startup, signaling a significant shift in Beijing’s oversight of cross-border corporate agreements. The move underscores the Chinese government's increasing efforts to control the export of critical technologies and maintain jurisdictional authority over domestic firms, even those seeking to expand their global presence through international partnerships.
This decision is viewed as a major disruption to the "Singapore washing" model, a strategy where Chinese companies relocate their headquarters to Singapore to distance themselves from geopolitical tensions and bypass Western scrutiny. By halting the transaction, China has demonstrated that a corporate move to a third-party country does not necessarily exempt a firm from Beijing’s regulatory reach or national security reviews concerning the transfer of proprietary technology.