Scrutiny over investment security continues to grow, with an accelerated policy and regulatory debate occurring in the United States regarding the imposition of novel outbound investment notification and review requirements.
The Departments of the Treasury and Commerce recently provided reports to Congress describing plans under consideration to regulate outbound investment, as required by the 2023.
Under the proposed Act, the Committee on National Critical Capabilities CNCC would require notification and review outbound investment transactions in countries of concern or entities that are headquartered in those countries or concerning national critical capabilities.
As we close out a wild year for international trade regulation, after hearing much talk about outbound investment review mechanisms, we may see a final dramatic change before the ball.
On October 20, 2022, the U.S. Department of the Treasury, acting as Chair of the interagency Committee on Foreign Investment in the United States, released the first-ever CFIUS Enforcement and Penalty Guidelines.