The US president Donald Trump, clearly, is not at all prepared to let Chinese money make its way into US technology companies at all.
His administration is going to announce its policy on this very shortly. The US will take no investments from China if China wants to make an inroad into higher technological innovations of US scientists.
That is a direct fallout of doubts on whether China can be trusted with high technological innovations? With Chima steadily infringing upon intellectual property rights of the world, Trump, who came to power with his ‘America First’ proclamation, can hardly overlook.
His administration is set now to announce measures this week cracking down on Chinese investment in key technologies in America. The move is expected to increase tensions in the intensifying trade clash between Washington and Beijing. However, Trump seems to mind it the least.
The planned US restrictions on Chinese investments in “industrially significant technology” are in large part fuelled by American concerns about “Made in China 2025” — Beijing’s plan to boost industries like robotics, electric cars and aerospace with the aim of becoming a global leader in those areas.
Naturally, Trump administration wants China to do it all by itself and not with the help of pilfered tech knowhow. The measures are set to include rules that would bar firms with at least 25 per cent Chinese ownership from buying companies involved in technology deemed significant by the White House, according to a report.
The limit on Chinese ownership could end up being even lower, it added.
It remains unclear exactly how the Trump administration will define what technology is “industrially significant”.
The measures are part of the same broad US move to confront Beijing over its trade practices as the tariffs on $50 billion of Chinese goods that the Trump administration detailed earlier this month. >