{"id":1995729,"date":"2023-08-09T17:22:02","date_gmt":"2023-08-09T21:22:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/biden-signs-china-investment-ban-republicans-call-riddled-with-loopholes\/"},"modified":"2023-08-09T17:27:42","modified_gmt":"2023-08-09T21:27:42","slug":"biden-signs-china-investment-ban-republicans-call-riddled-with-loopholes","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/biden-signs-china-investment-ban-republicans-call-riddled-with-loopholes\/","title":{"rendered":"Biden signs China investment &#8216;ban&#8217; criticized by Republicans for having loopholes."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fbiden-signs-china-investment-ban-republicans-call-riddled-with-loopholes%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1995729&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div>\n<h2>President\u2064 Biden Signs Executive Order\u200b to Restrict U.S. Investments in \u2063China&#8217;s\u200c Technology<\/h2>\n<blockquote>\n<p>President Joe Biden on Wednesday signed an <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/judge-rules-ca-gov-overstepped-his-authority-with-covid-order-issues-permanent-injunction-restraining-newsom-from-further-issuing-unconstitutional-orders\/\" title=\"Judge Rules CA Gov Overstepped His Authority with Covid Order, Issues Permanent Injunction Restraining Newsom From Further Issuing Unconstitutional Orders\">executive order<\/a> that will narrowly \u200dprohibit certain U.S. investments in sensitive technology in China \u2064and require government\u200d notification of funding in other tech sectors, restrictions that critics slammed as toothless because of their limited focus and vulnerability to loopholes.<\/p>\n<\/blockquote>\n<p>The long-awaited order \u200bauthorizes the U.S. Treasury secretary to prohibit or restrict\u2063 certain U.S. investments in \u200cChinese entities in three sectors: semiconductors and microelectronics, quantum information\u200b technologies,\u2063 and certain <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/exclusive-sam-brownback-calls-on-woke-corporations-to-pull-advertising-dollars-out-of-beijing-winter-olympics\/\" title=\"Exclusive \u2014 Sam Brownback Calls on Woke Corporations to Pull Advertising Dollars Out of Beijing Winter Olympics\u00a0\">artificial intelligence systems<\/a>.<\/p>\n<p>Biden said in a letter to\u2062 Congress he was declaring a national emergency\u200c to \u200cdeal with\u200c the threat of \u2063advancement by countries like China &#8220;in sensitive technologies and products critical to the \u2064military, \u2062intelligence, surveillance, or cyber-enabled capabilities.&#8221;<\/p>\n<p>The proposal\u200b targets investments in Chinese companies developing software\u2063 to design chips \u200dand tools \u2062to\u200c manufacture them. The United States, Japan,\u200c and the\u2063 Netherlands dominate those fields, and the Chinese government has been \u2064working to build up homegrown alternatives.<\/p>\n<p>Republicans\u200c said \u2062the Biden order \u200cdid not go far\u2062 enough.<\/p>\n<p>House Foreign Affairs\u200c Committee\u2063 chairman\u2064 Michael\u2063 McCaul praised the move to restrict new outbound investments in \u2062China but said\u200d &#8220;the \u200dfailure\u2063 to include existing\u2063 technology \u200dinvestments as well \u2064as sectors like \u2062biotechnology and energy is\u200b concerning.&#8221;<\/p>\n<p>Republican \u2063senator \u200cMarco Rubio said the Biden administration&#8217;s &#8220;narrowly \u200dtailored proposal is almost \u200dlaughable. It \u2064is riddled with loopholes, explicitly ignores the dual-use nature of important technologies, and fails to include industries China\u2019s\u2064 government deems \u2063critical.&#8221;<\/p>\n<p>The restrictions will take at least a year to take \u2063effect and \u2063must first\u200c pass through multiple rounds of \u200bpublic comment, including \u2064an initial 45-day comment\u200c period.<\/p>\n<p>During\u2062 a \u200btrip to China last month, Treasury\u2062 Secretary Janet Yellen <a href=\"https:\/\/freebeacon.com\/biden-administration\/biden-admin-briefed-xi-on-watered-down-chinese-investment-limits\/\">said<\/a> \u200d Biden&#8217;s restrictions would not &#8220;affect \u2064U.S. investment \u200bbroadly in China&#8221; or &#8220;have a fundamental impact on affecting the investment\u200c climate\u2064 for China.&#8221;<\/p>\n<p>The \u200bmove\u2064 could fuel tensions between the world&#8217;s two largest economies, although U.S. officials insisted the prohibitions were intended\u2062 to address &#8220;the most acute&#8221; national security\u200b risks \u200dand \u200bnot to separate the two countries&#8217;\u2063 highly interdependent economies.<\/p>\n<p>Senate \u2063Democratic leader Chuck Schumer praised Biden&#8217;s order, saying\u2063 &#8220;for too\u2063 long,\u200c American money has helped fuel the Chinese military\u2019s\u200b rise. Today the \u2064United States is taking a strategic first step to ensure American investment \u200bdoes not go to fund Chinese military advancement.&#8221; He \u2064says \u2063Congress must enshrine \u200crestrictions in\u200d law and refine them.<\/p>\n<p>The order is\u2063 aimed at preventing American capital and \u200dexpertise \u200bfrom helping develop \u2062technologies that could support China\u2019s\u2063 military \u2064modernization and undermine U.S. national \u2062security. It \u200cis focused on private \u2064equity, venture capital, joint venture, and greenfield investments.<\/p>\n<p>Most investments captured by the order will require\u200b the\u200c government\u2063 be notified about them. Some\u200b transactions will be prohibited. \u200dThe Treasury said it anticipates \u200cexempting\u200c &#8220;certain transactions, including potentially those in publicly-traded instruments\u200d and intracompany transfers from U.S.\u200b parents\u2063 to \u200bsubsidiaries.&#8221;<\/p>\n<p>A spokesman for\u2064 the Chinese \u200cEmbassy in Washington did not immediately respond to a request for comment \u2063on Wednesday but the embassy said Friday the United States &#8220;<a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/china-accuses-us-of-abuse-of-state-power-as-possible-ban-of-tiktok-looms\/\" title=\"China accuses US of 'abuse of state power' as possible ban of TikTok looms\">habitually politicizes technology<\/a> and trade issues\u200d and uses them\u2062 as a tool and weapon in the\u2064 name of national security.&#8221;<\/p>\n<p>The \u200cregulations will only \u200baffect future \u2063investments, not\u2063 existing ones, an administration\u2063 official\u2063 told Reuters.<\/p>\n<p>The Biden\u200c administration said it engaged with U.S. allies and partners \u200bas it developed the restrictions \u2063&#8221;and will continue coordinating closely with them to advance\u200b these goals.&#8221; It added the executive order reflects discussions with the Group of Seven countries.<\/p>\n<p>Regulators plan to issue an advance notice of proposed rulemaking \u200bto further define the scope of \u200dthe\u2062 program and a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/republican-canvassers-rescind-their-votes-to-certify-wayne-county-michigan-results\/\" title=\"Republican Canvassers Rescind Their Votes to Certify Wayne County, Michigan, Results\">comment period<\/a> to solicit public feedback \u200dbefore making a \u200cformal \u200bproposal.<\/p>\n<p>Sources previously told Reuters investments in semiconductors that will be \u200crestricted are expected to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/biden-signs-china-investment-ban-republicans-call-riddled-with-loopholes\/\" title=\"Biden signs China investment 'ban' criticized by Republicans for having loopholes.\">track\u2064 export control rules<\/a> for China \u2064issued by the U.S.\u2062 Department of Commerce in October.<\/p>\n<p>Emily Benson of the Center for Strategic and International Studies (CSIS), a bipartisan policy\u200b research organization, said\u200c she expects investments\u200d in artificial \u200dintelligence to be \u200cprohibited to military users\u2063 and \u200cuses, and that other investments in the\u2064 sector will only require notification to\u200d the government.<\/p>\n<p>Benson\u2062 said the burden will fall on the\u2062 administration to determine what \u2063AI \u2064falls into the military category.<\/p>\n<p>&#8220;They will have to draw a\u200d line of what constitutes a military application \u200dof\u2062 AI, \u2063and to define AI,&#8221; said Benson, director \u2064of CSIS&#8217;s \u200dproject \u200con trade and technology.<\/p>\n<p>The regulations concerning AI are still in \u2063development,\u200c the person briefed on the order \u200bsaid.\u2063 The person\u2064 said the\u200b same was also true for quantum computing but that it was expected\u2062 to\u2064 prohibit certain sensors and other\u200c things related to\u200b the technology.<\/p>\n<p>The person added that there \u200bcould\u200d be potential exemptions related to universities and research.<\/p>\n<p>(Reporting by\u2064 David Shepardson, Andrea Shalal, Stephen \u2062Nellis, Max Cherney, and Karen \u2063Freifeld; additional reporting by Idrees \u2063Ali; Editing\u200c by Lincoln Feast and Jonathan Oatis)<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>President Joe Biden signed an executive order restricting U.S. investments in sensitive Chinese technology and mandating government notification for funding in other tech sectors. Critics argue that the order&#8217;s narrow scope and susceptibility to loopholes render it ineffective. The order grants authority to the U.S. Treasury secretary.<\/p>\n","protected":false},"author":66,"featured_media":1995730,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[544],"tags":[],"class_list":["post-1995729","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-free-beacon"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1995729","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1995729"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1995729\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1995730"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1995729"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1995729"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1995729"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}