The Administration's Executive Order on Outbound Investment Controls

The Biden administration has released an executive order asking the Treasury to address the perceived gap in trade and investment authority related to outbound investment controls. The order aims to screen outbound investments and capital in the fields of semiconductors, microelectronics, artificial intelligence, and quantum technology. This issue has been an ongoing discussion since 2017 and gained momentum after the Bureau of Industry and Security imposed export controls on advanced AI chips to China in October 2023. The executive order provides an opportunity for public comment and emphasizes the need to protect U.S. national security while avoiding extensive restrictions on allies.