Inside one of Equinix’s internal operations at the Equinix data center in Ashburn, Virginia, on May 9, 2024.
Amanda Andrade-Rose | Washington Post | Getty Images
Measures aimed at curbing American investment in sensitive technology in China are in the final stages of consideration, according to the latest information from the US government.
Under this set of rules, the Treasury Department will require notification of foreign investments in China in sensitive technologies that can be used to develop military capabilities, such as artificial intelligence, semiconductors, microelectronics and quantum computing.
The final rules are likely to be published within the “next week or so,” according to Reuters.
These proposals are part of President Joe Biden’s administration’s efforts to support China’s military modernization and limit the flow of U.S. capital, technology and expertise into China that could undermine U.S. national security. be.
Last June, the U.S. Treasury Department announced a proposal that includes the possibility of completely banning certain investments in China in these cutting-edge technologies.
“The potential military, intelligence, surveillance, and cyber-enabled applications of these technologies and products pose a risk to the national security of the United States, especially when developed by countries of concern, such as China,” the Treasury Department notice states. It is stated that.
According to Reuters, former Treasury Department official Laura Black said the Treasury Department may be looking to formalize the rules before the presidential election, scheduled for Nov. 5.
The Ministry of Finance asked citizens and businesses to submit proposals for further defining the scope of regulations and opinions on transactions that should be restricted.
The United States has passed sweeping export controls starting in October 2022 aimed at restricting China’s access to advanced semiconductor technology, particularly technology used in AI applications, and restricts imports from China. imposed a series of high tariffs.
