(From The Washington Examiner)
President Donald Trump said Wednesday he will no longer seek to impose new restrictions on Chinese investment in the U.S., and instead called on Congress to advance legislation aimed at modernizing the existing review process for these transactions.
Trump said the pending legislation, known as the Foreign Investment Risk Review Modernization Act, would maintain the existing open investment market while still protecting U.S. technology property. But should Congress be unable to advance the measure, Trump said he will enact more sweeping restrictions that would hit countries beyond China.
“I urge Congress to send me a strong bill as soon as possible and look forward to implementing it to protect America’s security and prosperity,” Trump said.
The decision is a victory for free-trade advocates in the administration like Treasury Secretary Steven Mnuchin, who was pushing Trump to reject any new restrictions and instead use the Committee on Foreign Investment in the United States, or CFIUS, to rule on outsight investment in the country. CFIUS is the inter-agency panel that reviews foreign investment in the U.S. for national security threats.