US proposes new limits on investment in sensitive Chinese technology

The Treasury Department proposed rules on Thursday to enforce a 2025 law restricting US investment in China and other countries of concern, including Russia and Iran.

Technologies covered

• Advanced semiconductors
• Artificial intelligence
• Hypersonic systems
• Supercomputing
• Biotechnology

The rules cover technologies with military uses.

The proposals go to public comment before final approval. A US biotech industry group warned against an approach so broad that it weakens American competitiveness.

Drug licensing deals with Chinese companies paid in cash, with no stake in the company, would not be covered, according to one analyst.