As tensions grow between Washington and Beijing, BlackRock has delayed the launch of an exchange traded fund which would have invested in Chinese bonds, according to a report in the Financial Times.

According to sources familiar with the company’s decisions, the world’s largest money manager has “indefinitely” shelved the idea for the new ETF.

One source noted the decision was made in large part out of fears of a backlash from Washington over the firm funding Chinese government initiatives with US capital.

Asked for a statement, Blackrock refused to comment on the report.

In April, Reuters had broken the story of the new ETF, reporting that later this year, BlackRock was preparing to introduce its first product on China’s $220 billion onshore ETF market, and that staff hiring had begun accordingly.

Reuters reported that the first Blackrock ETF product would be introduced in Q4, and it would add to $107 billion (6.8 billion yuan) worth of assets the company manages in two mutual funds which hold investments in Chinese and Hong Kong stocks.

Following Chinese President Xi Jinping’s solidification of his grip on power, investment firm Tiger Global also reassessed its exposure to the country and paused investing in Chinese equities, according to a Wall Street Journal report earlier this month.