U.S. Pushes for Greater Market Access in Bangkok Talks
U.S. officials raised market‑access concerns for Mastercard and Citigroup during at least two bilateral meetings with Chinese officials in Bangkok this week, according to a senior Treasury Department official speaking on condition of anonymity.
Details of the Meetings
The Treasury delegation, led by Deputy Secretary Francis Brooke, met with representatives from the People’s Bank of China and the finance ministry on the sidelines of the Group of 20 finance meetings and the IMF‑World Bank annual gathering. The discussions covered market access for U.S. firms, specifically naming Mastercard, Visa and Citigroup, and noted that regulatory approvals were part of the agreement reached during the Trump‑Xi summit in Washington last month. The Bangkok sideline talks continued work on implementing those understandings.
Visa’s Card‑Clearing Approval
China granted Visa Inc. approval on Oct. 13 to begin preparing a wholly owned domestic card‑clearing business. Visa has up to one year to complete preparations before it can apply for an operating license, the PBOC confirmed.
Mastercard’s Joint Venture Status
Mastercard currently processes yuan‑denominated card payments in China through a joint venture with NetsUnion Clearing Corp., which started operations in 2024. The pending approval sought in the Bangkok discussions would allow Mastercard to operate as an independent entity in the Chinese market.
Citigroup’s Securities License Bid
Citigroup, which has hired several dozen employees for its China unit, is pursuing a wholly owned securities license to conduct A‑share brokerage, underwriting, research and principal‑trading activities onshore. Two industry sources, speaking anonymously, said the bank plans to expand its China securities team to roughly 100 staff. Citigroup submitted its application in late 2021, and Reuters reported last month that approval could be imminent.
Broader Financial Opening in China
Since 2018, China has gradually eased foreign‑ownership caps in sectors such as securities, futures and fund management. However, cross‑border capital flows remain restricted, and state‑backed domestic players continue to dominate the payments landscape.
Outlook and Expert Commentary
Presidents Donald Trump and Xi Jinping are expected to meet for a third time this year in Shenzhen, China, during the Asia‑Pacific Economic Cooperation summit in November. Dan Wang, China director at Eurasia Group, observed that the Bangkok talks signal a benign U.S.–China trade environment and that Beijing is keen to maintain momentum. She described licensing U.S. financial firms as a “limited concession” on market access, noting that it reflects China’s continuing openness and should modestly boost investor confidence in Chinese assets.
