The Biden administration is being pressured by a bipartisan group of lawmakers, including the Democrat leadership of both houses of Congress, to use the office’s executive powers to increase government oversight of investments in China.
In a report on the matter, leading lawmakers informed the administration that their legislation addressing the issue will take more time to complete, and and they are asking the administration to issue executive orders in the interim to deal with the problem.
The lawmakers, including House Speaker Nancy Pelosi and Senate Majority Leader Chuck Schumer, wrote, “As deliberations continue in Congress, we urge your administration to move forward with executive action — which can then be bolstered by statutory provisions — to safeguard our national security and supply chain resiliency on outbound investments to foreign adversaries.”
The letter comes on the heels of reports that the White House intends to issue an executive order that will order relevant agencies to monitor potential investment by American companies and investors in China, and block some investments.
The report points out that both Congress and the White House have been probing for means by which the government can screen potential Chinese investments for any national security risks. Of late, there has been particular concern American investments could aid Beijing to gain critical footholds, or even surpass America in critical technology sectors such as quantum computing, semiconductors, or artificial intelligence.
One reported plan under consideration is Congress drafting legislation requiring US companies to provide the government with advance notice of any investments in certain Chinese industries, and establishing a way for the government to block any investments it objects to outright.
The White House is considering the report, and has not yet responded.