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US pushes for further restricting investments in Chinese tech sector

US President Joe Biden’s administration is working on policies that would restrict investments in Chinese technologies that could enhance the China’s military and intelligence capabilities. The draft executive order would add to the administration’s toolkit to address concerns about Chinese technological advances, which include export controls on advanced semiconductors and new guidance on screening Chinese investments in the US. Officials claim that US investments in China often come with intangible benefits such as managerial and technical expertise that can help Chinese firms grow quickly. The restrictions are meant to capture investments in projects that have clear national security applications, including artificial intelligence and code-breaking technologies. US Representative Rosa DeLauro said it is “a good first step to ensure US investment does not fuel the Chinese Communist Party’s capabilities and create dangerous dependencies.”


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