During a congressional hearing focused on the risks of doing business in China, lawmakers and experts emphasized that the Chinese Communist Party (CCP) is a partner to every foreign company operating in China. They highlighted that private companies do not exist in China and that Beijing reserves the right to access any data, seize assets, and appropriate intellectual property. The CCP’s practice of embedding party branches in various entities allows for monitoring and access to confidential information. Lawmakers also highlighted the CCP’s policy of intellectual property theft and coercion of foreign companies to support the Chinese military’s technological advancement. The risks associated with investing in Chinese stocks using the Variable Interest Entity (VIE) structure were also discussed, with experts noting the lack of control and legal remedy for investors. Furthermore, concerns were raised about the reliability of China’s economic data and the influence of Wall Street in shaping public perception of the Chinese economy. Experts suggested warning labels and a ban on VIE investments as potential measures to mitigate the risks.