Treasury Wants to Boost Foreign Investment Review Powers, as Congress Dissects Nippon, TikTok Deals

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Foreign Investment Nippon US Steel Nieuws

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U.S. Treasury wants to enhance the power of a littleknown, secretive government committee to review deals made between U.S. firms and foreign investors.This comes as highprofile deals involving foreign investment in the U.S. like Chinese firm ByteDance's ownership of...

WASHINGTON — U.S. Treasury wants to enhance the power of a little-known, secretive government committee to review deals made between U.S. firms and foreign investors.

The rulemaking — if finalized — would expand the committee's subpoena authority, allow the committee to request more information from parties to a proposed sale and expand circumstances when fines can be imposed and their size — from $250,000 to $5 million, where there are misstatements, omissions and failure to file mandatory declarations.

Nippon Steel announced in December that it planned to buy the Pittsburgh-based steel producer for $14.1 billion in cash, raising concerns about what the transaction could mean for unionized workers, supply chains and U.S. national security. “The announcement today is all about adding tools for them to investigate and more actively and aggressively enforce their authorities,” he said. He added that it was going “to act as an incentive for people to really scrub deals to see whether or not they need to file.”Another deal under CFIUS review is the ownership of popular social media app, TikTok. CFIUS’ review of the social media app goes back at least to 2019, though no movement has been made on that review. The U.S.

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