Washington to block US investment in rival tech sectors for national security
(MENAFN) According to a report from The Wall Street Journal, Washington is planning to introduce new regulations that will prohibit American investment in high-tech sectors of rival economies, with a focus on private and venture capital investments in semiconductors, artificial intelligence, and quantum computing.
The proposed measures are primarily aimed at China and are designed to prevent United States capital and expertise from being exploited in ways that threaten national security, without placing undue burden on United States investors and businesses. While the reports do not specify the economic sectors or countries that will be affected, they suggest that the new rules are going to target sectors that could increase the military capabilities of United States rivals.
Sources close to the discussions about the new regulations have revealed that the US Treasury and Commerce Department have been working on the measures for several months, with a focus on ensuring that the restrictions do not create an unfair economic advantage.
The Treasury report emphasized that the foreign investment rules are intended to prevent United States capital and expertise from being used in ways that pose a threat to national security. While the regulations are still being finalized, the move suggests that Washington is increasingly concerned about the strategic implications of foreign investment in high-tech sectors and is taking steps to safeguard United States national security interests.
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