On Oct. 23 the U.S. Treasury published a proposed rule tightening outbound
investment restrictions and seeking public comment. MOFCOM said the proposal
discriminately broadens restrictions on China and applies a generic
national-security approach, contrary to leaders' consensus, and that it disrupts
normal bilateral commercial cooperation and the international trade order. China
expressed serious concern and firm opposition, said it will closely monitor
developments and reserves the right to take countermeasures. MOFCOM noted
China's large market and investment potential, warned U.S. limits would harm
Sino-U.S. economic cooperation and U.S. firms' interests, and urged Washington
to respect market economics and stop politicizing and weaponizing trade.
