Biden Order Will Force Companies to Weigh China Investments
Companies have an opportunity to weigh in on a new regulation the Biden administration plans to implement that restricts investments made in certain technologies in China.
Though the rules aren't in effect yet and won't result in any immediate changes, companies that have or are planning such investments in China will start to take this process into account, said Anthony Rapa, co-chair of law firm Blank Rome's international trade practice group.
Companies will need to anticipate whether and to what extent China will consider countermeasures to Biden's actions, how allies such as the EU will react and how it might affect business connections in China.
"Think about what is your nexus with China and in what industries, with respect to what technologies, and assess where you are in relation to the proposals," he said.
On top of the regulatory process, Congress might still pass legislation on this same topic, Rapa said. The Senate passed the bipartisan Outbound Investment Transparency Act in July, which targets the same technologies listed in the EO.
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"Biden Order Will Force Companies to Weigh China Investments," by Makenzie Holland was published in TechTarget on August 11, 2023.