100% a sovereign risk issue. my understanding is the Politburo are cracking down on foreign currency leaving the country. Its a combination of the state not wanting its foreign reserves drained and secondly a response to the crazy amount of money leaving china to property and equity markets world wide (I.e sydney, melb housing bubbles).
http://www.chinalawblog.com/2016/03/getting-money-out-of-china-the-reality-has-changed.html
I'll do some more research - but I agree with you, very concerned about owning a company that cant access its cash.
