A new rule that would impose a three-day deadline for certain responses to the Committee on Foreign Investment in the U.S. was unanimously criticized by several law firms, an industry group and the Chinese government, which said such a time frame doesn’t take into account the complex, time-consuming discussions companies must have when dealing with CFIUS. Some commenters also asked the committee to nix a proposed change that would raise the maximum penalty for violations from $250,000 per violation to $5 million, saying most violations are accidental, and the increase could rattle the “confidence” of foreign investors.
Export Compliance Daily is providing readers with the top stories from last week in case you missed them. You can find any article by searching for the title or by clicking on the hyperlinked reference number.
The U.S. government should explore the possibility of prohibiting inbound Chinese foreign direct investment in a few sensitive high-sectors to ease the workload burden on the Committee on Foreign Investment in the U.S., a congressionally mandated commission heard last week.
China-based Borqs Technologies said it completed its divestment of Hawaii-based energy storage system company Holu Hou Energy (HHE) about two years after the Committee on Foreign Investment in the U.S. ordered it to do so.
Export Compliance Daily is providing readers with the top stories from last week in case you missed them. You can find any article by searching for the title or by clicking on the hyperlinked reference number.
The farm bill that the House Agriculture Committee plans to mark up May 23 contains several foreign investment-related provisions, including a requirement that the Agriculture Department enter into a formal agreement with the Committee on Foreign Investment in the U.S. to ensure the two agencies share information on foreign transactions in a timely manner.
Export Compliance Daily is providing readers with the top stories from last week in case you missed them. You can find any article by searching for the title or by clicking on the hyperlinked reference number.
Citing national security concerns, President Joe Biden issued an order May 13 prohibiting China’s MineOne from continuing to operate a cryptocurrency mine near Francis E. Warren Air Force Base in Cheyenne, Wyoming.
The U.S. will struggle to compete technologically with China unless it continues to loosen trade barriers around sensitive technologies for a broader range of allies outside just the U.K. and Australia, Mike Gallagher, a former member of Congress, said this week.
Senate Democrats are urging the Treasury Department to quickly finalize a proposed rule that could make investment advisers subject to more sanctions-related compliance requirements, adding that the agency should also require advisers to follow rigorous due diligence requirements that currently apply to large banks. But financial industry organizations said Treasury should revise the proposal because investment advisers are already covered by existing anti-money laundering laws and aren’t the right target for new compliance guardrails.