The latest draft of legislation would tighten scrutiny of foreign investment, limiting Chinese efforts to acquire sophisticated US technology
US Treasury officials are meeting with about 10 industry groups on Monday to discuss the latest draft of legislation that would tighten scrutiny of foreign investment in order to limit Chinese efforts to acquire sophisticated US technology, three sources familiar with the meeting said.
The Treasury Department supports the bill, which is now in the Senate and a companion measure in the US House of Representatives, that would broaden the reach of the inter-agency Committee on Foreign Investment in the United States (CFIUS).
Corporate America has taken a keen interest in the bill because it would give CFIUS the power to further restrict Chinese investment in US companies.
It could also potentially lead the Chinese to retaliate and restrict US company access to the world’s second-largest economy.
Tightening the CFIUS process is one of several efforts supported by the Trump administration, including tariffs on steel and aluminium, to establish a more protectionist stance in an effort to tamp down Chinese imports while raising the regulatory bar on what deals get approved.
Attendees include the most powerful US business lobbying group, the Chamber of Commerce, a source familiar with the situation said.
