President Joe Biden administration has disclosed that it is pursuing a policy to control even overseas investment by U.S. corporations, following its “Made in America” strategy to reinforce the supremacy of the U.S. manufacturing business.
According to U.S. National Security Advisor Jake Sullivan on Friday, there is progress in formulating an approach to address outbound (cross border) investments in sensitive technologies, particularly investments that would not be captured by export controls and could enhance the technological capabilities of our competitors in the most sensitive areas.
The announcement came at the Global Emerging Technology Summit a day after President Joe Biden signed a new executive order to crack down on M&As if such M&As by foreign companies related to China of the U.S. high-tech corporations such as AI are considered to have a negative impact on the national security and tech competitiveness.
Jake Sullivan commented that preserving our edge in science and technology is not a “domestic issue” or “national security” issue, adding that as part of the measure to reinforce the national power, the U.S. is pursuing a modern industrial and innovation strategy to invest in the nation’s sources of strength at home, which also powers its strength around the world. He also emphasized that the nation’s competitors use increasingly sophisticated means to acquire sensitive technologies, information, and know-how illicitly, and the U.S. must adapt accordingly.