Beijing ‘closely watching’ Donald Trump’s plan to restrict Chinese investments
China says it’s concerned and ‘will assess potential impact’ on companies
Beijing on Wednesday said it is “closely watching” US President Donald Trump’s planned restrictions on investments from China and “will assess the potential impact on Chinese companies”.
Later on Wednesday, Washington confirmed it would rely on an existing Treasury Department-led committee to restrict new Chinese investments in US technology companies, retreating from a more aggressive approach that would have dramatically limited China’s ability to invest in the United States.
Under Trump’s proposal, the Committee on Foreign Investment in the United States (CFIUS) will vet Chinese deals to help meet the objectives of his plan to restrict the transfer of US technology to China.
Earlier in the day, foreign ministry spokesman Lu Kang also said Beijing was concerned about the impact of planned restrictions on Chinese investment deals.
Lu said “major economies” should facilitate investment flows and “normal trade and investment activities” should not be viewed “in the zero-sum mentality of the cold war era”, when asked about the move during a regular press briefing.