Treasury investment rule outlines exception for allies, tweaks knowledge standard

Outbound investment restrictions the Treasury Department finalized on Monday include an exception for transactions involving countries that similarly regulate investments in strategic Chinese technological sectors and a slightly modified knowledge standard. The Biden administration issued the much-anticipated final rule imposing restrictions on outbound investment into China’s semiconductor, quantum information technologies and artificial intelligence sectors after releasing a notice of proposed rulemaking in June and an advance NPRM in August 2023, alongside an executive order directing Treasury to craft the restrictions...