What does Trump’s ‘America First Investment Policy’ mean for China?
Donald Trump has signed a memorandum enacting an "America First Investment Policy" aimed at curbing Chinese-affiliated investments in critical US sectors. The policy will utilize all available legal means to restrict investments in areas like technology, infrastructure, healthcare, and agriculture, while also discouraging American investment in China's military-industrial complex. This move follows discussions between US Treasury Secretary Scott Bessent and Chinese Vice-Premier He Lifeng and has already raised concerns among Chinese investors.
The memorandum outlines potential restrictions on US outbound investment in China, specifically targeting sectors such as semiconductors, artificial intelligence, and aerospace, citing China's "military-civil fusion strategy." The Trump administration is also considering suspending or terminating the 1984 tax treaty with China, arguing it has contributed to the decline of US industry and the modernization of the Chinese military. While the memorandum emphasizes that "economic security is national security," it lacks a specific timeline for implementation.
via SCMP Full Text Feed
Donald Trump has signed a memorandum enacting an "America First Investment Policy" aimed at curbing Chinese-affiliated investments in critical US sectors. The policy will utilize all available legal means to restrict investments in areas like technology, infrastructure, healthcare, and agriculture, while also discouraging American investment in China's military-industrial complex. This move follows discussions between US Treasury Secretary Scott Bessent and Chinese Vice-Premier He Lifeng and has already raised concerns among Chinese investors.
The memorandum outlines potential restrictions on US outbound investment in China, specifically targeting sectors such as semiconductors, artificial intelligence, and aerospace, citing China's "military-civil fusion strategy." The Trump administration is also considering suspending or terminating the 1984 tax treaty with China, arguing it has contributed to the decline of US industry and the modernization of the Chinese military. While the memorandum emphasizes that "economic security is national security," it lacks a specific timeline for implementation.
via SCMP Full Text Feed
