U.S. President Joe Biden signed an executive order on Thursday that fortifies a regulatory committee’s powers to screen foreign investments in the U.S., many of which included Chinese shares in tech in recent years.
The Committee on Foreign Investment in the United States , which was established in 1975 under the Ford administration, is nowwith expanding its areas of review, as well as regularly evaluating its processes, practices and regulations to ensure that they “remain responsive to evolving national security threats.”
While the order does not explicitly mention China, it names sectors that are fundamental to both U.S. technological leadership and national security, including “microelectronics, artificial intelligence, biotechnology and biomanufacturing, quantum computing, advanced clean energy and climate adaptation technologies.” These happen to be areas of focus in Chinese President Xi Jinping’s “Made in China 2025” plan, according toThe order also cites cybersecurity as a standalone focus.
“Businesses should not be surprised if Treasury comes knocking to learn more about investments that may pose a risk to the country,” Ludvigson, who is now a partner with
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