Biden is considering issuing an executive order on US-China investments

Biden is considering issuing an executive order on US-China investments, per Politico.

Per Politico: President Joe Biden is expected to forego expansive new restrictions on American investment in China, denying a push by some hawks in his administration and in Congress.

The order may still prohibit U.S. investments in at least one Chinese industry — advanced semiconductors — but will likely not block money from flowing to other parts of China’s high-tech economy.

Per Politico: But even a scaled back executive order would represent a new chapter for federal oversight of American business overseas. Until recently, the U.S. government largely allowed American business free rein in the world’s second largest economy.

“While this [executive order] is the first official step, we shouldn’t expect it to be the last,” said Sayers, now managing director at D.C. consulting firm Beacon Global Strategies. He noted that past investment screening policies, like the Committee on Foreign Investment in the United States, took decades to be fully established. “This will likely be an additive process that grows over time through both executive powers and legislative action,” he said.