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Added on : 2018-06-26 09:35:11

Amid an ongoing trade war with Beijing, the Trump administration has decided to cap investments by Chinese companies in US technology firms and to block important technology exports to China. These measures, which are likely to escalate the trade war between the two countries, could be announced this week. When implemented, companies with at least 25 per cent Chinese ownership will be blocked from buying US companies which are considered to possess "industrially significant technology." The decision on the percentage of Chinese ownership is pending and may come down from the now proposed limit of 25 per cent. The US National Security Council and the Department of Commerce are also working on introducing measures to prevent the export of sensitive technology to China. On 15 June, the Trump administration had announced a new 25 per cent tariff on $50 billion worth of Chinese goods.

Amid an ongoing trade war with Beijing, the Trump administration has decided to cap investments by Chinese companies in US technology firms and to block important technology exports to China. These measures, which are likely to escalate the trade war between the two countries, could be announced this week. When implemented, companies with at least 25 per cent Chinese ownership will be blocked from buying US companies which are considered to possess "industrially significant technology." The decision on the percentage of Chinese ownership is pending and may come down from the now proposed limit of 25 per cent. The US National Security Council and the Department of Commerce are also working on introducing measures to prevent the export of sensitive technology to China. On 15 June, the Trump administration had announced a new 25 per cent tariff on $50 billion worth of Chinese goods.

Editor & Publisher : Dr Dhimant Purohit

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