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• President Trump’s “America First Investment Policy” introduces significant changes to foreign investment reviews and outbound investment regulations.
• The policy includes a fast-track process for investments from friendly countries and tighter restrictions on investments in sensitive sectors, especially those involving China.
• CFIUS authority is set to expand, covering more areas such as greenfield investments and emerging technologies.

Quick Brief

2-Minute Digest

Essential Context

On February 21, 2025, President Trump issued the “America First Investment Policy,” a national security memorandum aimed at reshaping how the U.S. approaches both foreign investment and outbound investments. This policy is part of a broader effort to enhance national security and protect American interests.

Core Players

• Donald Trump – President Trump
• CFIUS (Committee on Foreign Investment in the United States)
• U.S. Department of the Treasury
• Foreign investors and U.S. businesses involved in advanced technologies

Key Numbers

• $1 billion – Threshold for expedited environmental reviews for investments
• 10% – Tariff on energy resources from Canada under new trade policies
• 25% – Tariffs on products from Canada and Mexico due to national emergency powers
• 10% – Tariff on all products from China due to intellectual property issues

Full Depth

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The Catalyst

The “America First Investment Policy” was introduced to address growing concerns about national security and the protection of U.S. technologies. This policy aims to ensure that foreign investments do not compromise American interests.

This move follows a series of executive orders and memoranda aimed at strengthening U.S. economic and national security positions.

Inside Forces

The policy introduces a fast-track review process for investments from specified allied and partner countries, facilitating greater investment in U.S. advanced technologies. It also limits the use of mitigation agreements with foreign adversaries, opting for more concrete and time-bound actions instead.

Additionally, the policy strengthens CFIUS authority over greenfield investments and restricts foreign adversaries’ access to sensitive technologies, including artificial intelligence.

Power Dynamics

The Trump administration holds significant power in shaping these policies, with the U.S. Department of the Treasury and CFIUS playing key roles in implementation. The policy also requires cooperation from Congress to achieve some of its goals, such as expanding CFIUS authority.

The relationship between the U.S. government and foreign investors is set to become more stringent, especially with regards to investments involving China and other foreign adversaries.

Outside Impact

The new policy has broader implications for global trade and investment. It may deter certain foreign investments, particularly those from China, and could lead to retaliatory measures from affected countries.

Domestically, the policy aims to protect U.S. businesses and technologies, which could boost national security and economic competitiveness but may also face opposition from some stakeholders who argue it could limit investment opportunities.

Future Forces

Going forward, the policy is likely to face legislative and regulatory challenges. Key areas to watch include the expansion of CFIUS authority, the implementation of the Outbound Investment Security Program, and the reaction of foreign governments to these new measures.

• Legislative actions to support policy changes
• International reactions and potential trade disputes
• Impact on U.S. businesses and foreign investment trends

Data Points

• February 21, 2025: “America First Investment Policy” memorandum issued
• 10 key sectors affected, including biotechnology, aerospace, and advanced manufacturing
• New restrictions on outbound investments to deter investment in certain Chinese sectors
• Required submission from the Department of Justice on risks posed by foreign adversary companies listed on U.S. exchanges