US Election 2024

Trump’s latest moves signals most ‘hawkish’ approach on China yet: expert

President Donald Trump’s latest move to restrict Chinese investment in strategic areas has sparked speculation that the president may be even more aggressive toward the U.S. rival in his second term. Larry Ward, a national security law expert and partner at the international law firm Dorsey & Whitney, believes that Trump is taking a hawkish approach to China as never seen before.

Last week, Trump signed a memorandum directing the Committee on Foreign Investment in the United States (CFIUS) to promote foreign investment from certain countries while restricting investment from adversaries like China. The memorandum aims to protect U.S. national security interests by limiting Chinese investments in critical sectors such as technology, critical infrastructure, healthcare, agriculture, energy, and raw materials.

The National Security Presidential Memorandum (NSPM) specifically targets China for exploiting U.S. capital and ingenuity to fund and modernize their military, intelligence, and security operations. The White House release highlighted the threat posed by China through cyber warfare, weapons of mass destruction, and other means.

The memorandum underscores the concerns raised by Chinese hackers targeting U.S. entities, including breaching the Treasury Department’s CFIUS office. This move by Trump goes beyond the tariffs imposed on China in the past, signaling a significant step in responding aggressively to the Chinese threat.

Ward pointed out the case of TikTok, a social media application that faced national security concerns, leading to restrictions on Chinese investment. While certain sectors have faced restrictions on Chinese investment for years, Trump’s policy indicates a broader expansion of such restrictions into sectors that have not traditionally been the focus.

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The Chinese commerce ministry accused the U.S. of politicizing and weaponizing economic issues in response to Trump’s move. Despite this, Ward believes that Trump’s memorandum reflects a strong commitment to addressing Chinese threats to U.S. security.

Through this policy, Trump is openly acknowledging China as a major concern for national security. This bold stance sends a clear message that the president is not afraid to confront the threats posed by China, even if it means implementing stringent restrictions on Chinese investment in various sectors.

As tensions between the U.S. and China continue to escalate, Trump’s aggressive stance on restricting Chinese investment underscores the growing challenges posed by the U.S. rival. The president’s unwavering commitment to safeguarding U.S. national security interests signals a new chapter in the ongoing rivalry between the two global powers.

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