White House nears unprecedented action on US investment in China

President Joe Biden’s administration has been divided at the highest levels for years over how aggressively to limit economic engagement with China, Report informs referring to Politico.

But officials now appear to be nearing an agreement on one key effort to curtail Beijing’s technological and military rise.

Unprecedented rules limiting American investments in China are expected later this month - and the administration has begun briefing industry groups like the Chamber of Commerce on the broad outlines of the executive order, which is expected to require companies to notify the government of new investments in Chinese tech firms and prohibit some deals in critical sectors like microchips.

“We want to make sure we’re getting it right,” a senior administration official, granted anonymity to discuss policy discussions, said of the long-delayed executive order on American investments in China. “We want to make sure we’re consulting with allies, consulting with industry along the way, and then go through the regular order processes as regulations do. But I don’t think there’s really been any shift in any of those discussions now.”