Former U.S. National Security Officials Urge Resources for Enforcing Biden’s China Investment Restrictions
A bipartisan group of former senior U.S. national security officials has called on Congress to allocate resources to support President Joe Biden’s order that restricts outbound investment to China. In a letter sent to congressional leaders, the officials emphasized the importance of limiting adversaries’ access to American capital to protect national security and prosperity.
The group, comprising twenty-one veteran officials, including Matt Pottinger, former deputy national security advisor during the Trump administration, and Colin Kahl, who recently stepped down as undersecretary of defense for policy, commended Biden’s order as a positive step towards safeguarding U.S. interests. They underscored the need for continued development of outbound investment transparency and review, urging Congress to prioritize it as a foreign policy objective and allocate the necessary resources for its implementation.
Biden’s order, scheduled to be implemented next year, aims to prevent American capital and expertise from being utilized by China for military modernization that could undermine U.S. national security. It grants the U.S. Treasury secretary the authority to restrict or prohibit U.S. investments in Chinese entities involved in semiconductors and microelectronics, quantum information technologies, and certain artificial intelligence systems.
The letter’s endorsers also include Peter Harrell, a former Biden National Security Council official, as well as former commanders of the U.S. Indo-Pacific Command Harry Harris and Philip Davidson. Their collective support for Biden’s policy reflects the growing consensus on the urgency of safeguarding American interests against China’s strategic ambitions.
While China has expressed grave concern over the order, some U.S. lawmakers have criticized it for containing too many loopholes. The concerns raised by China and U.S. lawmakers highlight the need for a balanced approach that protects American interests while addressing potential vulnerabilities in the order’s implementation.
Moving forward, it is crucial for Congress to allocate the necessary resources to ensure the effective enforcement of these investment restrictions. By doing so, the United States can fortify its national security and prosperity in the face of increasing economic competition and geopolitical challenges.
In conclusion, the bipartisan group of former U.S. national security officials has made a compelling case for dedicating resources to support President Biden’s China investment restrictions. Their letter highlights the need for strong measures to prevent American capital from being used against U.S. national security interests. As Congress considers its foreign policy priorities, it should recognize the significance of implementing outbound investment transparency and review to safeguard American interests in a rapidly evolving global landscape.
