Abstract

US policy expressly welcomes Chinese investment, and Chinese companies have invested nearly $50 billion in the USA. Notwithstanding those facts, the US regulatory environment for Chinese investment - at least with respect to the national security reviews of certain proposed transactions - has been criticised as politicised and protectionist. This article analyses the experience of Chinese investors in the USA, particularly with respect to national security reviews led by the Committee on Foreign Investment in the United States ('CFIUS'). This article addresses a small, but significant, group of controversial US transactions involving Chinese acquirers, including CNOOC, Tangshan, Northwest, Huawei, and Ralls, which have had a damaging impact on Chinese perceptions of the US investment environment, and identifies key trends with respect to the US regulatory environment for foreign investment generally. The need for some $8 trillion in investment over the next 15 years to modernise US infrastructure should provide many opportunities for the US Government to further demonstrate that foreign investment - and in particular, Chinese investment - is indeed welcome in the USA.

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