Trump Signs Memorandum to Restrict Chinese Investments in Strategic Sectors

President Donald Trump has signed a National Security Presidential Memorandum (NSPM) aimed at promoting foreign investment while safeguarding U.S. national security interests, particularly from threats posed by foreign adversaries like China. This move was announced in a press release from the White House.

The NSPM directs the Committee on Foreign Investment in the United States (CFIUS) to restrict Chinese investments in strategic sectors such as technology, critical infrastructure, and healthcare. The memorandum also establishes a "fast-track" process to facilitate investments from allied countries, while ensuring that these investments do not partner with foreign adversaries.

Additionally, the Trump administration plans to consider new or expanded restrictions on U.S. outbound investments to China in sensitive technologies, including semiconductors, artificial intelligence, and biotechnology. This initiative aims to prevent American funds from supporting China's Military-Civil Fusion strategy.

The memorandum also highlights the need to protect U.S. farmland and real estate near sensitive facilities, and to strengthen CFIUS's authority over "greenfield" investments. The administration will continue to encourage passive investments from all foreign entities, allowing U.S. businesses to benefit from foreign capital while maintaining national security.