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Investing in the United States

Is the US Ready for FDI from China?

Edited by Karl P. Sauvant

This essential book analyzes the regulatory and operational challenges that foreign direct investors face in the United States, as well as the ways in which these challenges can be overcome.
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Appendix I: Exon–Florio Statute: Authority to Review Certain Mergers, Acquisitions, and Takeovers


APPENDIX I Exon–Florio Statute (50 USC App. § 2170): Authority to Review certain Mergers, Acquisitions, and Takeovers 50 USC App. § 2170 § 2170. Authority to review certain mergers, acquisitions, and takeovers (a) Definitions. For purposes of this section, the following definitions shall apply: (1) Committee; chairperson. The terms “Committee” and “chairperson” mean the Committee on Foreign Investment in the United States and the chairperson thereof, respectively. (2) Control. The term “control” has the meaning given to such term in regulations which the Committee shall prescribe. (3) Covered transaction. The term “covered transaction” means any merger, acquisition, or takeover that is proposed or pending after August 23, 1988, by or with any foreign person which could result in foreign control of any person engaged in interstate commerce in the United States. (4) Foreign government-controlled transaction. The term “foreign government-controlled transaction” means any covered transaction that could result in the control of any person engaged in interstate commerce in the United States by a foreign government or an entity controlled by or acting on behalf of a foreign government. (5) Clarification. The term “national security” shall be construed so as to include those issues relating to “homeland security”, including its application to critical infrastructure. (6) Critical infrastructure. The term “critical infrastructure” means, subject to rules issued under this section, systems and assets, whether physical or virtual, so vital to the United States that the incapacity or destruction of such systems or assets would have a debilitating impact on national security. (7) Critical technologies....

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