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US proposes new restrictions on investment in sensitive technologies in China

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Based on a feed excerpt; full article content has not been acquired. Source evidence retrieved 23/10/2026, 09:56:24 UTC.

Briefings

The US Treasury proposed new investment restrictions on US companies entering sensitive Chinese tech sectors, including AI, hypersonic weapons, and biotechnology, under the National Security Investment Act. Secretary Scott Bessent stated these rules aim to protect national security by preventing adversaries from using US investments in critical technologies, though the Biotechnology Innovation Organization expressed concerns about overreach. The initiative follows a two-month US-China trade truce agreement and aims to limit Chinese access to civilian and military technologies, excluding certain existing pharmaceutical licensing agreements.

Key points

• The US Treasury Department proposed new regulations under the National Security Investment Act to restrict US investments in sensitive Chinese sectors including AI, hypersonic weapons, and biotechnology.
• Secretary Scott Bessent stated the rules aim to prevent adversaries from using US investments in critical technologies that threaten national security, though the Biotechnology Innovation Organization expressed concerns about overreach.

Context

The initiative emerged one month after the US-China trade truce agreement, which extended for two months until January. The National Security Investment Act was approved by the US parliament in 2025, and the new rules are subject to public consultation before final approval.

Limitations

The evidence covers a specific regulatory proposal from October 2026, with limited detail on the exact scope of biotechnology restrictions and the specific timeline for public consultation. Some uncertainty exists regarding the final approval process and the precise impact on existing pharmaceutical licensing agreements.

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