United States. Through an official statement, the administration of President Donald Trump announced that the security review process will be much stricter in the face of the threat of Chinese investments in the US technology sector instead of just imposing more tariffs on the Asian country.
On the recommendation of the Treasury Department, President Trump would use the U.S. Foreign Investment Commission (CFIUS), to receive greater authority through a new law in Congress, to control transactions, officials said.
An expansion in the scope of the agreements reviewed by the panel will effectively address national security concerns, U.S. officials said.
"I have concluded that this law will provide additional tools to combat predatory investment practices that threaten our key leadership in technology, national security and future economic prosperity," Trump said in a statement.
He added that following the final passage of the Foreign Investment Risk Review Modernization Act, it will direct the government to "implement and rigorously implement it swiftly, with a view to addressing concerns around (Chinese) state-led investments in critical technologies."
If the U.S. Congress does not quickly pass the bill, Trump said he will order his administration to implement new restrictions under an executive order that could be applied at a cross-cutting level.
This announcement curbs speculation about an alleged more aggressive approach from Washington towards Chinese investments that had been advanced this week by The Wall Street Journal, which cited sources familiar with the alleged project.
Source: América Economía.
