President Joe Biden on Thursday signed an executive order that administration officials said was aimed at strengthening national security amid the federal government’s review of foreign investment in the United States. From the report: Administration officials said the order would increase oversight by the Committee on Foreign Investment in the United States, an interagency panel tasked with reviewing transactions and mergers involving foreign people and entities. The committee, known as CFIUS, is made up of members from the Departments of State, Defense, Justice, Commerce, Energy and Homeland Security and is chaired by the Treasury Secretary. It forwards its findings and recommendations to the president, who has the power to suspend or prohibit the deal.
Although the White House said the new order was not aimed at any specific country, it came amid growing concerns among US officials about Chinese investment in the US technology sector and other industries. The order requires CFIUS to consider whether a foreign investment or sale could affect the stability of critical U.S. supply chains and the impact it could have on U.S. technological leadership in areas affecting U.S. national security and broader investment trends.
