Joe Biden plans new restrictions on US investments in China, including Hong Kong, declares ‘emergency’ on sensitive tech
- US President Joe Biden looks to restrict US venture capital, private equity stakes in Chinese firms in micro electronics, AI, quantum information technologies
- Separately, White House declares ‘national emergency’ over ‘threat of advancement’ by China in ‘sensitive technologies and products’ related to military, spying
Biden declared the move “a national emergency to deal with the threat of advancement by countries of concern in sensitive technologies and products critical to the military, intelligence, surveillance, or cyber-enabled capabilities of such countries”.
China, along with its special administrative regions of Hong Kong and Macau, was noted as the only country of concern in the emergency declaration.
China doesn’t need our money … The thing they don’t have is the know-how
The order also called for the creation of an outbound investment review mechanism “because our export controls don’t offer investments abroad that can help foreign adversaries or countries of concern to fuel indigenous development of national security technologies”, another administration official said.
“By adding outbound investment screening to our suite of national security tools, we’re enhancing US capabilities to safeguard our national security,” this official said.
