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CFIUS
Is Trump’s order to review U.S. Steel transaction precedent-setting?

Is Trump’s order to review U.S. Steel transaction precedent-setting?

Last week, President Trump ordered a review of the Nippon-U.S. Steel transaction, which Pres. Biden had prohibited at the end of his term. Experts say the “de novo” review (which means the Biden decision will have no bearing on the outcome) may be a first, with long-term implications for transaction parties.

Who do the GenAI models predict will serve as next head of CFIUS?

Who do the GenAI models predict will serve as next head of CFIUS?

Since we haven’t been able to find any hard data on potential nominees for the next Assistant Secretary for Investment Security, we did the next best thing: We asked GenAI. The results were surprising, with a host of interesting candidates based on criteria the models say the President Trump would himself use.

Trump to make CFIUS more China focused; eliminate certain NSAs

Trump to make CFIUS more China focused; eliminate certain NSAs

Last week, President Trump issued a sweeping national security memorandum that appears to transform CFIUS into a regime-specific entity. It also would “cease the use of overly bureaucratic, complex, and open-ended mitigation agreements.” Details and the memorandum are inside.

Former head of CFIUS Paul Rosen to join law firm as natsec partner

Former head of CFIUS Paul Rosen to join law firm as natsec partner

Well that didn’t take long. As many readers have already heard, former Assistant Secretary of the Treasury for Investment Security Paul Rosen has decamped for Latham & Watkins, where he’ll focus on CFIUS matters, outbound reviews and more. Stay tuned for an exclusive interview with Rosen.

Predicting the implications of the decision to block sale of U.S. Steel

Predicting the implications of the decision to block sale of U.S. Steel

As most Foreign Investment Watch readers know by now, President Biden has blocked Japanese steelmaker Nippon from acquiring U.S. Steel. Inside, we discuss with experts the impact of the decision for foreign investment reviews, including the implications for excepted foreign states.

Retroactive reviews and expanded CFIUS jurisdiction sought in letter

Retroactive reviews and expanded CFIUS jurisdiction sought in letter

Right on the heels of a report that detailed threats to the nation’s ports, Congressional leaders have sent a letter to Treasury Secretary Janet Yellen urging her to put U.S. Coast Guard facilities and other sensitive sites under CFIUS jurisdiction, and to allow for retroactive land purchase reviews. Details inside.

Is Trump’s order to review U.S. Steel transaction precedent-setting?

CFIUS publishes “unprecedented” details on penalties issued to date

CFIUS head Paul Rosen disclosed over a year ago that penalties had been issued under the new enforcement guidelines, but the Committee has been relatively silent on details. Until now. Last week, CFIUS provided extensive details on penalties, and unveiled how “DONT” letters are being used.

Will new beneficial ownership law aid CFIUS’s ongoing NNT search?

Will new beneficial ownership law aid CFIUS’s ongoing NNT search?

The Corporate Transparency Act, which requires certain companies to disclose beneficial ownership information, became effective back in January. Experts now say the Act could theoretically help CFIUS in its ongoing search for non-notified transactions. Details, context and insights are inside.

Military sites added to the CFIUS jurisdiction list won’t be the last

Military sites added to the CFIUS jurisdiction list won’t be the last

As we mentioned in last week’s edition, the Treasury Department has proposed a new rule that would expand the number of military installations over which CFIUS has jurisdiction. This is the second expansion of the real estate provisions of FIRRMA in the last year, and it won’t be the last. Details inside.

Activist group sues CFIUS over a failure to respond to FOIA request

Activist group sues CFIUS over a failure to respond to FOIA request

A conservative activist group known for filing Freedom of Information Act requests and lawsuits has filed a FOIA lawsuit against Treasury seeking communications between CFIUS and the Agriculture Department. Details, insights, a list of other FOIA requests sent to CFIUS, and the lawsuit are inside.

Firm wins $20M Treasury contract to build IT systems for outbound

Firm wins $20M Treasury contract to build IT systems for outbound

The government contracting unit of Accenture has been awarded a $20 million contract to work on the CFIUS case management system and other “international affairs projects,” including the outbound investment program. The contract comes right on the heels of another we recently tracked.

T-Mobile bid for UScellular raises a number of national security issues

T-Mobile bid for UScellular raises a number of national security issues

Last week, T-Mobile announced that it would acquire almost all of UScellular, the fourth-largest wireless carrier in the U.S. The transaction raises a number of interesting national security questions, particularly related to a government-focused business unit that serves federal agencies.

Predicting the implications of the decision to block sale of U.S. Steel

President Biden blocks real estate acquisition near U.S. air force base

President Biden has issued an order prohibiting the purchase of a cryptomining facility that was located within one mile of Francis E. Warren Air Force Base in Wyoming. According to the order, the buyer, MineOne, is “ultimately majority owned” by Chinese nationals. Details are inside.

Tracking violations of mitigation agreements has been “challenging”

Tracking violations of mitigation agreements has been “challenging”

Last week, the GAO published a 49-page report that evaluated how CFIUS and members agencies monitor nearly 230 active mitigation agreements and enforce compliance. Apparently, there’s some work to be done. Details, current shortcomings, and recommendations are summarized inside.

CFIUS to increase max penalties to $5M, expand its use of subpoenas

CFIUS to increase max penalties to $5M, expand its use of subpoenas

The Treasury Department has proposed a rule that would “enhance certain CFIUS procedures” and sharpen its penalty and enforcement authorities. The proposed changes reflect the Committee’s evolution and increased focus on monitoring, compliance, and enforcement. Details are inside.

Is CFIUS imposing NSAs without negotiating terms? Rumors abound.

Is CFIUS imposing NSAs without negotiating terms? Rumors abound.

According to some readers of Foreign Investment Watch, CFIUS has imposed National Security Agreements by order on a non-interim basis, and has done so without negotiating with the transactions parties. Experts say this would be an important development with far-reaching implications.

Exclusive: CFIUS official opines on ’24 priorities, staffing hires, more

Exclusive: CFIUS official opines on ’24 priorities, staffing hires, more

Last week, Foreign Investment Watch spent some time with a senior CFIUS official, who provided updates on recent staffing changes, and insights into the Committee’s priorities for 2024. According to the official, the first tranche of proposed changes to FIRRMA may come as early as Q1. Details inside.

Committee wants to give CFIUS additional authorities, new tools

Committee wants to give CFIUS additional authorities, new tools

Based on recent hearings and industry meetings, the Select Committee has published a policy paper with a staggering 150 recommendations for countering China. The document outlines flaws in the CFIUS model, and suggests tactics to improve the approach to national security. Details, report inside.

Is CFIUS reviewing cryptomining facilities owned by Chinese entities?

Is CFIUS reviewing cryptomining facilities owned by Chinese entities?

In case you missed it, the New York Times wrote an interesting piece on the national security implications of Chinese cryptomining facilities in the U.S., particularly near military facilities. This is not the first time the risk has been flagged, and it brings up interesting jurisdictional questions.