China urges US to halt proposed expansion of outbound investment curbs
SPY•China's commerce ministry urged the United States to stop expanding restrictions on American investments in China, warning a proposed rule covering biotechnology, high-performance computing and hypersonic systems would disrupt trade ties. Beijing opposed the proposal and reserved the right to take unspecified countermeasures.
1. Beijing opposes proposed rule
China's commerce ministry urged the United States to halt proposed expansions of restrictions on American investments in China, saying the measures would disrupt trade ties. The ministry said the proposal discriminatorily widened China-related restrictions and intensified curbs, and it reserved the right to take unspecified countermeasures.
2. Sectors covered by proposal
The US Treasury Department's proposal would add biotechnology to restricted sectors and expand coverage of high-performance computing and hypersonic systems. The program already restricted certain US investments involving China in semiconductors, quantum technologies and artificial intelligence. Treasury said the measures, which do not only cover China, are intended to prevent US capital from supporting foreign adversaries' development of dual-use strategic technologies that could threaten US national security.
