U.S. Proposes Restricting Investment in Chinese Biotech Sector

The U.S. Treasury Department has proposed new rules that would restrict U.S. investment in the Chinese biotech sector, citing national security concerns. The proposed regulations would prohibit most private investment in Chinese biotech firms that develop or use biological systems to produce or modify pharmaceutical compounds. The restrictions aim to prevent U.S. capital from supporting the development of strategic dual-use technologies that could threaten U.S. national security. The proposal is part of an ongoing effort to tighten outbound investment restrictions on China and follows similar restrictions on other sensitive technologies.