Biden Signs Executive Order Limiting US Investments in Chinese Tech: Country of Concern

US President Joe Biden has signed an executive order that limits American investments in Chinese technology companies, citing concerns over exploitation of US businesses. The order, which designates China as a country of concern, requires US firms to inform the Treasury Department about certain investments in Chinese tech, with some transactions being outright prohibited. The move aims to prevent foreign countries from taking advantage of critical technologies, such as artificial intelligence, semiconductors, and quantum computing, that could pose risks to US national security. While the order maintains a commitment to open investment, it further tightens export controls on advanced computer chips and declares a national emergency to address China’s rapid technological advancements, which are seen as a significant threat. The decision comes amid an ongoing trade dispute between the US and China, with both sides engaging in retaliatory measures. China’s Ministry of Commerce has expressed serious concern over the new rules and has reserved the right to respond. The ministry hopes that the US will respect the principles of fair competition and not obstruct economic and trade exchanges and cooperation. The executive order builds on previous actions taken by the US government against Chinese tech firms like Huawei and ZTE Corp. Beijing has criticized Washington for politicizing and weaponizing tech issues, accusing it of hindering global technological advancements.