In the beginning of November House, Republican lawmakers introduced legislation that will affect foreign investors, seeking to buy U.S. companies. They will face higher hurdles for winning regulatory approval under new legislation and will be obliged to follow additional criteria to weigh the security threats of deals. Experts suggest that this is due to toughening of national security and warnings of a mass spree of Chinese deals in the U.S. economy. China has been a tricky partner for the United States, offering both large opportunities for collaboration and partnership and a minefield of security risks.
The bill urged for closer vetting by Treasury Secretary Steven Mnuchin, “strengthens and modernizes The Committee on Foreign Investment in the United States (CFIUS) to give the government the necessary tools to better track and evaluate Chinese investment, according to the Republican Representative Robert Pittenger of North Carolina. Increased level of Chinese investment is targeting critical U.S. infrastructure and disrupt defense supply chain requirements, lawmakers believe. Continue reading “Foreign Investors Will Face Tougher Security Reviews”