WASHINGTON (Reuters) - The Treasury Department on Tuesday proposed new rules to beef up oversight of foreign investment in critical technologies, critical infrastructure or sensitive personal data in the United States, part of a bid to monitor Chinese investments that may infringe on national security.
If approved, the rules would grant greater powers to CFIUS, a multi-agency national security panel led by the Treasury, to review a greater number of bids by foreigners to invest in key U.S. industries, including real estate.
The rules will take effect no later than February 2020.
CFIUS, the Committee on Foreign Investment in the United States, reviews mergers and stock purchases to ensure they do not harm national security. It was strengthened by legislation in the National Defense Authorization Act, which was signed into law last year.
The committee has flexed its muscles increasingly against Chinese companies as Beijing and Washington remain locked in a heated trade and technology dispute.
The public will have 30 days to comment on the proposals before regulations are finalized.