Economic disputes between Beijing and Washington remain a hot topic of discussion. This time, the US openly admitted that they are afraid of financial injections from China. Thus, the US Treasury is developing new rules to expand the powers of the Committee on Foreign Investment in the United States (CFIUS), which launched a large campaign against Chinese investors.
The offers include permission to the Committee to study the offers of foreigners to purchase property located within 1-100 miles from military facilities or government agencies with special status.
Laws passed last year gave CFIUS the right to review foreign investment in critical technology, infrastructure, and sensitive personal data — even when the buyer is not looking for a controlling stake in an American firm.
The proposals from the Treasury, which is led by CFIUS, provide more detailed information on how it is planned to implement this, with finally agreed rules, which should come into force at the beginning of next year after consultations with the public.
The intervention of CFIUS, which is considering mergers and shares to preserve national security interests, has already helped to significantly slow down Chinese investment in the United States.
CFIUS may block transactions or require parties to enter into transactions, ensuring, for example, that a foreign firm does not have access to important technologies developed by the American company in which it seeks to invest.