WASHINGTON (Reuters) -The United States on Friday extended the status of Britain and New Zealand as countries exempt from the U.S. foreign investment screening program, the Treasury Department said, having determined that those countries’ own screening programs are robust enough.
U.S. Treasury’s powerful Committee on Foreign Investment in the United States (CFIUS) said it made the decision based on the countries’ use of their own “robust foreign investment screening program.”
Friday’s action, Treasury said in its statement, means that all of Washington’s “Five Eyes” national security and intelligence partners – Australia, Britain, Canada and New Zealand – are now exempt from CFIUS jurisdiction over some transactions including real estate.
“The United States thoroughly reviews foreign investment for national security risks, and it is critical that our allies also identify and address risks from malign foreign investment,” Assistant Secretary for Investment Security Paul Rosen said.
“Today’s actions reflect that our Five Eye allies have all stood up and implemented their own robust foreign investment screening programs. We look forward to continuing to coordinate with all of them on matters relating to investment security.”
CFIUS has flexed its muscle against Chinese firms in recent years, while China, New Zealand’s largest trading partner, has accused the Five Eyes of ganging up on China by issuing statements on Hong Kong and the treatment of ethnic Muslim Uyghurs in Xinjiang.
(Reporting by Doina Chiacu; Editing by Chizu Nomiyama)
