Is this U.S.-China selloff a buy? A top Wall Street voice weighs in
Investing.com -- Netgear (NASDAQ:NTGR) stock rose 5.5% following reports that the US government is weighing potential restrictions against China-linked router manufacturer TP-Link, one of Netgear’s major competitors.
According to Bloomberg, citing sources familiar with the matter, the Trump administration is considering issuing an "initial determination" that TP-Link poses a national security threat. This assessment follows an investigation into the company’s China ties that began last year and could potentially lead to restrictions or a ban on TP-Link’s US operations.
The intensifying scrutiny of TP-Link comes as lawmakers from both parties have expressed concerns about the security of the company’s wireless equipment. In May, more than a dozen Republican lawmakers, including Senate Intelligence Committee Chair Tom Cotton, called for a US ban on further sales of TP-Link products following a series of attacks on its routers.
This development occurs ahead of a planned meeting between President Trump and Chinese President Xi Jinping scheduled for later this month.
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