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Chinese Bidders Face Increased Scrutiny in the US

A top US corporate lawyer explains Washington’s attitude toward Chinese firms buying in the US

By Xie Yi Updated Aug.31

China's US merger and acquisition activity has surged in recent years. Chinese foreign direct investment there soared to $45.6 billion in 2016 – triple that of 2015 – according to economic research firm Rhodium Group.

Yet the future of China’s global M&A is contested. Chinese investors face tough challenges, including tighter controls on outbound capital flows from China, dangerously high levels of corporate debt and increased scrutiny over investment from China.

What is the general attitude in Washington toward Chinese firms buying in America?

And how could US President Donald Trump's order to investigate China’s trade practices affect Chinese companies' acquisitions of US firms?

Jeffery Bell, a partner at Morrison & Foerster LLP who specializes in M&A, shares his thoughts. 
 
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