Laura Black Talks U.S. Move to Block Investments in China's AI and Tech Industries
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Akin international trade senior counsel Laura Black has been quoted by Reuters and The Deal regarding the United States’ proposed rule to prohibit U.S. investment in AI and other technology sectors in China.
In Reuters’s article “US closer to curbing investments in China's AI, tech sector,” Laura said "U.S. investors will need to engage in more extensive due diligence when making investments in China or investments involving Chinese companies that operate in the covered sectors.”
Laura further stated that the proposed rules were keeping U.S.-managed private equity and venture capital funds “in the cross-hairs” as well as certain U.S. investments in foreign-managed funds and convertible debt, affecting investments in Chinese subsidiaries and potentially restricting some U.S. investments in third countries.
Additionally, in The Deal’s article “China Targeted Under ‘Reverse Cfius’ Proposal” in which Laura is also quoted, Laura stated: “While the proposed rule does not fundamentally change the contours of the program as set out by Treasury in an advance notice last year, it does provide additional detail and clarity on the scope of the new prohibitions and notification requirements.”
Laura noted that the rules would extend to some U.S. limited partner investments in foreign-managed funds, indicating a broad application intended to safeguard U.S. national security interests.
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