China urges US to halt proposed expansion of outbound investment curbs

China urges US to halt proposed expansion of outbound investment curbs, saying it would disrupt trade ties, and warns of countermeasures.

China urges US to halt proposed expansion of outbound investment curbs

Oct 25, 2026, 11:35 AM

China’s commerce ministry said that the US proposal “discriminatorily” widened China-related investment restrictions and intensified curbs.
China said the US proposal “discriminatorily” widened China-related investment restrictions and intensified curbs. PHOTO: REUTERS

BEIJING – The Chinese commerce ministry urged the United States on Oct 24 to stop expanding restrictions on American investments in China, saying a proposed rule on sensitive technologies would disrupt trade ties.

The US Treasury Department issued proposals on Oct 22 to update its outbound-investment security programme, adding biotechnology to restricted sectors and expanding coverage of high-performance computing and hypersonic systems.

Beijing’s commerce ministry said in a statement that the proposal “discriminatorily” widened China-related investment restrictions and intensified curbs.

It opposed the US proposal and reserved the right to take unspecified countermeasures, it added.

It said the proposal would damage bilateral economic ties and ran counter to the consensus reached by the countries’ presidents, who have met twice in the past six months.

The US Treasury has said the measures, which do not only cover China, are intended to stop US capital from supporting foreign adversaries’ development of dual-use strategic technologies that could threaten US national security.

The US programme had already restricted certain US investments involving China in semiconductors, quantum technologies and artificial intelligence. REUTERS

Source: The Straits Times https://www.straitstimes.com/asia/east-asia/china-urges-us-to-halt-proposed-expansion-of-outbound-investment-curbs