US to bar and screen some tech investments in China. Yes, the US government is planning to bar and screen some tech investments in China. The order, signed by President Biden on February 8, 2023, gives the government new power to review and potentially block American companies from investing in Chinese firms that are active in artificial intelligence, quantum computing, and other sensitive technologies. The order also requires US companies to notify the Treasury Department of any investments they make in Chinese firms working on these technologies.
US to bar and screen some tech investments in China
The Biden administration says the order is necessary to protect US national security interests. The administration argues that China is using its access to foreign investment to acquire sensitive technologies that could be used to build up its military or spy on its adversaries. The order is also seen as a way to counter China’s aggressive economic policies, which have been accused of unfair trade practices and intellectual property theft.
China has criticized the order, calling it “arbitrary” and “discriminatory.” The Chinese government has said that the order will damage the global economy and will not achieve its intended goal of protecting US national security.
The order is still in its early stages, and it is not yet clear how it will be implemented. The Treasury Department will need to develop detailed rules and regulations to guide companies on what investments are prohibited or require notification. It is also possible that the order will be challenged in court.
The order is a significant development in the US-China economic relationship. It is a sign that the Biden administration is willing to take a more assertive approach to China on economic issues. The order is also likely to further complicate the already strained relationship between the two countries.