Foreign Affairs

US bans Chinese construction projects, halting investment

Washington

US investment in China has been banned by President Joe Biden. The US newspaper says that Beijing can use its investment to enhance its military capabilities. With this decision of the United States, the distance from China has increased a little more. According to the newspaper, President Joe Biden has also signed this order.

According to US media, venture capital and private equity firms cannot invest their money after the new order in Chinese efforts to make semiconductors and microelectronics. The government says that this decision has been taken in the national interest. It was necessary for the security of the nation.

However, China can also consider US’s decision as a hindrance to its development. The US Treasury Department says that the decision of the Biden government is important to keep the United States safe for the next generation. The Biden government is committed to the security of the United States.

India has also barred domestic military drone manufacturers from using components made in China. News agency Reuters has claimed this by quoting four defence and industry officials and documents. India has taken this step at a time when it is pushing for military modernization amid tensions with its nuclear-armed neighbour. It envisages greater use of unmanned quadcopters, long-endurance systems and other autonomous platforms.

Defence and industry figures said Indian security leadership is concerned that the installation of Chinese-made components in the drone’s communications functions, cameras, radio transmission and operating software could put intelligence at risk. In addition, the Pentagon also banned the purchase of drones and components made in China.

Chinahalting investmentUSUS bans Chinese construction projectsUS Treasury Department

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