Pompeo urges U.S. state governors to be cautious in business with China

U.S. Secretary of State Mike Pompeo urged governors of U.S. states and territories on Saturday to adopt a "cautious mindset" when engaging in business with China, saying Beijing was seeking to use U.S. openness to undermine the United States.

Pompeo said in a speech to the National Governors Association in Washington that China was pursuing a policy of exploiting U.S. freedoms to "gain advantage over us at the federal level, the state level and the local level."

"When it comes to doing business, I'm asking you to adopt a cautious mindset. In the words of President Reagan, when you are approached for introduction or a connection to a deal, 'trust but verify,'" he told the governors representing the 55 U.S. states and territories.