The U.S. Treasury pressed Chinese officials in Bangkok this week to open market access in China for Mastercard, Visa and Citigroup, according to a U.S. Treasury official cited by CNBC on Oct. 16.
The official said those approvals were part of an agreement reached when Donald Trump and Xi Jinping met in Washington last month. The Bangkok talks were aimed at working out how to carry that out.
Bangkok meetings focused on implementation
The unnamed official said a delegation led by Deputy Treasury Secretary Francis Brooke held at least two bilateral meetings with officials from the People’s Bank of China and China’s Ministry of Finance on the sidelines of the G20 finance meetings and the annual meetings of the International Monetary Fund and World Bank. Market access for U.S. companies was among the topics discussed.
The People’s Bank of China, the National Financial Regulatory Administration, the China Securities Regulatory Commission, the U.S. Treasury press office and Visa did not immediately respond to CNBC requests for comment. Citi and Mastercard declined to comment.
Visa has already received preparatory approval
China had already moved on Visa on Oct. 13. Visa said that day that the People’s Bank of China had approved its application to begin preparations for a domestic bankcard clearing institution in China.
Chief Executive Officer Ryan McInerney said he appreciated efforts by the leaders of both countries to promote a relationship that is 「constructive」 and 「strategically stable」.
CNBC said that, under the PBOC’s framework, Visa has up to one year for the preparation phase before it can apply for a business license.
Mastercard seeks standalone operations, Citi seeks wholly owned securities license
Mastercard currently runs renminbi card payment operations in China through a joint venture with NetsUnion Clearing. That joint venture began operating in 2024.
The Treasury official said that, if approved, Mastercard would be able to operate as an independent entity.
Citi is applying for a wholly owned securities license covering A-share brokerage, underwriting, research and proprietary trading.
Two people familiar with the industry said Citi has already hired dozens of staff for its China subsidiary and plans to increase its securities headcount in China to about 100. Citi filed the application at the end of 2021, and Reuters reported last month that approval could come soon.
Eurasia Group says the move points to continued opening
Dan Wang, China director at Eurasia Group, said the development shows the U.S.-China trade environment remains stable and that Beijing wants to keep momentum going.
She described licenses for U.S. financial firms as a 「limited concession」, but said they also show China is continuing to open up and 「should modestly improve investor confidence in Chinese assets」.
Trump and Xi are expected to hold their third meeting of the year at the Asia-Pacific Economic Cooperation summit in Shenzhen in November.