China has urged the United States to abandon proposed expansions of restrictions on American investments in Chinese technology sectors, warning that the measures could undermine bilateral economic relations and disrupt international trade.
The Chinese Ministry of Commerce expressed firm opposition on Saturday, October 24, to proposed changes announced by the US Treasury Department, accusing Washington of using national security concerns to justify discriminatory investment restrictions.
The US Treasury Department unveiled proposals on Thursday to broaden its outbound investment security programme, introducing biotechnology as an additional restricted sector while expanding existing coverage of high-performance computing and hypersonic systems.
The programme already restricts certain American investments involving China in semiconductors, quantum technologies and artificial intelligence.
According to the Treasury Department, the restrictions are intended to prevent American capital from supporting the development of strategic technologies by foreign adversaries that could threaten US national security.
The measures are not exclusively directed at China, although Beijing has emerged as a central focus of the dispute.
The proposed updates remain open for public comment, with Washington seeking to strengthen oversight of investments involving sensitive technologies with potential civilian and military applications.
China's Ministry of Commerce described the proposed expansion as discriminatory and accused Washington of overstretching the concept of national security to restrict legitimate economic activity.
A ministry spokesperson argued that the measures would disrupt normal commercial cooperation between Chinese and American businesses, damage US corporate interests and undermine the international economic and trade order.
Beijing also maintained that the proposal contradicted the understanding reached between the countries' presidents, who have met twice over the past six months.
Chinese officials urged Washington to respect market economy principles, refrain from politicizing economic relations and establish conditions conducive to bilateral investment and trade.
The ministry emphasized China's substantial consumer market and investment potential while warning that further restrictions could harm businesses in both countries.
China said it would closely monitor developments and reserved the right to introduce corresponding countermeasures, without specifying what actions it might take.