On January 13, 2025, the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) issued an Interim Final Rule (IFR), establishing new export controls targeting advanced artificial intelligence (AI) chips and model...more
1/24/2025
/ Artificial Intelligence ,
Bureau of Industry and Security (BIS) ,
Data Centers ,
Data Security ,
Export Administration Regulations (EAR) ,
Export Controls ,
Intellectual Property Protection ,
Machine Learning ,
National Security ,
Regulatory Requirements ,
Technology Sector
Earlier this week, the U.S. Office of Foreign Assets Control (OFAC) and the UK Office of Financial Sanctions Implementation (OFSI) published a Memorandum of Understanding (MoU), which was previously signed on October 9, 2024,...more
The Final Rule formalizes a new governmental system to monitor through a notification process and, when necessary, restrict investments in China that may be viewed as a national security risk.
The regulations have broad...more
11/8/2024
/ Advanced Notice of Proposed Rulemaking (ANPRM) ,
Artificial Intelligence ,
Brownfield Properties ,
Bureau of Industry and Security (BIS) ,
China ,
Final Rules ,
Greenfield Projects ,
Investment ,
Joint Venture ,
Limited Partnerships ,
National Security ,
Notice of Proposed Rulemaking (NOPR) ,
Notifications ,
Popular ,
Risk Management ,
SDN List ,
Semiconductors ,
U.S. Treasury
The outbound investment program will affect U.S. persons considering certain investments or other transactions involving China and specific industry sectors (e.g., semiconductors, artificial intelligence and quantum...more
7/16/2024
/ Advanced Notice of Proposed Rulemaking (ANPRM) ,
Artificial Intelligence ,
China ,
Covered Entities ,
Covered Transactions ,
Foreign Investment ,
Investment ,
Limited Partnerships ,
National Security ,
Notice of Proposed Rulemaking (NOPR) ,
Prohibited Transactions ,
Proposed Regulation ,
U.S. Treasury
On March 29, 2024, the U.S. Commerce Department’s Bureau of Industry and Security (BIS) issued an interim final rule (“2024 IFR”) clarifying and correcting its October 2023 interim final rules on advanced...more
4/9/2024
/ Bureau of Industry and Security (BIS) ,
China ,
ECCNs ,
Export Administration Regulations (EAR) ,
Export Controls ,
Exports ,
Interim Final Rules (IFR) ,
Manufacturers ,
National Security ,
Semiconductors ,
Supply Chain
On March 1, 2024 the Department of Commerce’s Bureau of Industry and Security (BIS) issued an Advance Notice of Proposed Rulemaking (ANPRM) seeking public comment on regulations that aim to reduce the national security risks...more
This past year saw a continued trend in building supply chain resiliency, as this topic has grown increasingly important following Covid-19, the conflict in Ukraine, shifting landscape on tariffs, forced labor concerns and a...more
2/23/2024
/ China ,
Customs and Border Protection ,
Export Controls ,
Forced Labor ,
Foreign Adversaries ,
Imports ,
National Security ,
Section 301 ,
Semiconductors ,
Supply Chain ,
Tariffs ,
Uyghur Forced Labor Prevention Act (UFLPA)
During 2023 both Congress and the Biden Administration repeatedly expressed the need to secure critical supply chains, particularly batteries that rely heavily on lithium and critical minerals sourced from China. Concerns...more
1/31/2024
/ Batteries ,
China ,
Entity List ,
Exports ,
Forced Labor ,
Human Rights ,
Imports ,
Inflation Reduction Act (IRA) ,
National Security ,
Supply Chain ,
Tax Credits ,
Uyghur Forced Labor Prevention Act (UFLPA)
On November 6, 2023, the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) held a public briefing to address industry questions concerning the latest export controls on advanced computing and semiconductor...more
Secretary Raimondo announced that the United States will not be compromising with China on “matters of national security” in response to calls to reconsider the recent Executive Order directing the Department of Treasury to...more
9/22/2023
/ Artificial Intelligence ,
Bureau of Industry and Security (BIS) ,
CFIUS ,
China ,
Executive Orders ,
Export Controls ,
Foreign Direct Investment ,
Foreign Investment ,
National Security ,
NDAA ,
Russia ,
Semiconductors ,
U.S. Treasury
On August 9, 2023, President Biden issued an Executive Order on Addressing United States Investments in Certain National Security Technologies and Products in Countries of Concern. The new Executive Order (EO) is the...more
The US Department of Treasury recently released Enforcement and Penalty Guidelines (“Guidelines”) that outline conduct violating the Committee on Foreign Investment in the United States (“CFIUS” or “Committee”) regulations....more
On June 12, 2022, a bipartisan group of Senate and House lawmakers announced agreement on a new draft of the National Critical Capabilities Defense Act of 2022 (NCCDA), which would establish an expansive outbound review...more
E.O. 14032 signals that the Biden Administration will continue to restrict U.S. investments into China’s defense and surveillance technology sectors.
The prior Administration’s November 2020 Executive Order (E.O.) 13959...more
On January 19, 2021, the Commerce Department issued an interim final rule to implement the Executive Order on Securing the Information and Communications Technology and Services Supply Chain (E.O. 13873), which was issued on...more
Federal government lessees seeking to occupy high-security spaces in foreign-owned buildings will be required to obtain complete beneficial ownership and impose access restrictions on owners and property managers.
The...more
1/8/2021
/ Anti-Money Laundering ,
CFIUS ,
Controlled Unclassified Information (CUI) ,
Cybersecurity ,
Data Security ,
Department of Homeland Security (DHS) ,
Disclosure Requirements ,
Espionage ,
Foreign Investment ,
Foreign Ownership ,
GAO ,
National Security ,
Property Managers ,
Security Risk Assessments
TAKEAWAYS -
A transfer of control of a borrower or its business to non-U.S. lenders who exercise remedies under financing documents could trigger CFIUS issues.
CFIUS regulations adopted in February 2020 dramatically...more
On March 6, 2020, President Trump issued an Executive Order (“EO”) instructing the Chinese company Beijing Shiji Information Technology Co., Ltd. (“Shiji”) to divest its acquisition of StayNTouch, Inc., a U.S.-based software...more
On March 5, 2020, the U.S. Department of the Treasury issued a proposed rule establishing filing fees for parties submitting a voluntary notice to the Committee on Foreign Investment in the United States (CFIUS) for “covered...more
On January 13, 2020, the U.S. Department of the Treasury issued two final rules for the Committee on Foreign Investment in the United States (CFIUS) implementing the Foreign Investment Risk Review Modernization Act (FIRRMA),...more
On September 17, 2019, the U.S. Department of Treasury issued two new proposed rules for the Committee on Foreign Investment in the United States (CFIUS) implementing the Foreign Investment Risk Review Modernization Act...more
As trade relations with China continue to evolve, Huawei Technologies Co., Ltd. (“Huawei”) and its foreign affiliates remain subject to broad U.S. export license requirements. ...more
On November 19, 2018, the US Commerce Department’s Bureau of Industry and Security (BIS) issued a proposed rulemaking seeking public comment on criteria for identifying emerging technologies that are essential to U.S....more
The Committee on Foreign Investments in the United States (CFIUS) is an inter-agency committee designed to review foreign investments that raise national security concerns. While you may have seen CFIUS play a role in prior...more
While there is increasing scrutiny, transactions continue to be reviewed and cleared by CFIUS, even where a Chinese entity is involved.
Upcoming legislative changes will expand the definition of a “covered transaction”...more