Key details on the agenda and deliverables for President Donald Trump’s trip to China early next month remain unclear as Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer prepare to meet with China’s Vice Premier He Lifeng in Paris over Sunday and Monday.
American companies exported $192 billion in goods and services to China in 2021, constituting 7.5 percent of US exports. While expanding foreign trade can disrupt US employment, trade with China also creates and supports a significant number of American jobs.
Countries run a deficit when the value of their imports exceeds the value of their exports. According to recent polling by the Pew Research Center, about four in ten Americans see the US trade deficit with China as a very serious problem.
Last Friday, the Biden administration added six Chinese entities to the Entity List due to their connections to China’s surveillance balloon program. Yesterday, China responded by adding the defense and missile subsidiaries of two US companies to its Unreliable Entity List (UEL), the first time China has actually used the tool since it was created in 2020.
Chinese investments throughout the United States are under increasing scrutiny, with once uncontroversial projects now receiving national attention. A growing number of state and local regulators are racing to create new tools to review and block such investments due to political and national security concerns.
This article updates USCBC’s December 2022 FAQs on China’s Cross-Border Data Transfer (CBDT) Regulation with new insights into company progress and likely enforcement patterns as the March 1 deadline approaches. This process is required only for companies seeking to transfer certain types or volumes of data outside of China.
This update covers notable policy updates relating to the automotive and aviation sectors over the past several months. I welcome your feedback on how these and other issues may impact your business.
On Tuesday evening, President Joe Biden in his second State of the Union address explained how his administration has strengthened its investments in US innovation, critical technologies, and strategic alliances in order to compete with China and defend US interests. Additionally, Biden announced plans to require all construction materials—such as lumber, glass, drywall, and fiber optic cables—used in federal infrastructure projects to be made in America.
The Netherlands and Japan have reportedly reached an agreement with the United States to join its efforts to restrict sales of advanced semiconductor manufacturing equipment to Chinese entities. The Netherlands will reportedly restrict ASML Holding NV from selling deep ultraviolet lithography machines to China, and Japan is expected to impose similar restrictions on Nikon Corporation and Tokyo Electron.
During the 118th Congress, all eyes will be on the newly established Select Committee on Strategic Competition Between the United States and the Chinese Communist Party. Still, it is important to note that the select committee will not have any legislative authority, and that the standing committees will still hold full power to craft, introduce, and mark up legislation.
