Key facts
- China's commerce ministry urged the US to halt proposed outbound investment curbs.
- US Treasury proposals add biotechnology to restricted sectors and expand coverage of high-performance computing and hypersonic systems.
- China opposes the US proposal and reserves the right to take countermeasures.
China's commerce ministry on Saturday urged the United States to halt proposed curbs on American investments in China, stating that the measures would disrupt trade ties. The US Treasury Department had issued proposals on Thursday to update its outbound-investment security program, adding biotechnology to restricted sectors and expanding coverage of high-performance computing and hypersonic systems. Beijing's commerce ministry described the proposal as discriminatory and a widening of China-related investment restrictions, stating it firmly opposed the move and reserved the right to take unspecified countermeasures. The ministry added that the proposal would damage bilateral economic ties and contradict the consensus reached by the two countries' presidents.