Business Groups Advise Caution on Proposed CFIUS Reforms; Urge Continued Bipartisan Focus on National Security

Washington, D.C. - Four leading U.S. business groups today responded to the introduction of legislation in the House of Representatives that would reform the national security review process under the Committee on Foreign Investment in the United States (CFIUS), by urging legislators to weigh carefully any changes that could adversely impact beneficial foreign investment in the United States.

Business Roundtable, The Financial Services Forum, the Organization for International Investment and the U.S. Chamber of Commerce were united in their call for Congress to address all national security concerns associated with the CFIUS review process, but to avoid draconian reforms that could damage the U.S. economy.

The business groups expressed support for continued bipartisanship in the CFIUS reform process, congratulating Representatives Roy Blunt (R-MO), Deborah Pryce (R-OH), Joseph Crowley (D-NY), Carolyn Maloney (D-NY), Joe Barton (R-TX), Peter Hoekstra (R-MI), Peter King (R-NY), Don Manzullo (R-IL) and Don Young (R-AK) for working across party lines to craft the House bill introduced today.

As the House moves forward, the business organizations stressed that the reform package must be balanced and constructive so it does not place unnecessary, damaging and counterproductive restrictions on foreign investment, and urged Congress to apply the following three principles to final legislation:

• National security should continue to be the principal focus of the foreign investment review process;
• The review process should continue to be objective, fair, and non-political, and should not create obstacles to investment that put a damper on legitimate business objectives; and
• Maintaining an open, fair and non-discriminatory investment environment for legitimate foreign investment is important to U.S. national interests.

The business organizations are currently reviewing the text of the legislation and will formally present their views on the legislation in testimony before the House Financial Services Committee on May 17.

Together, Business Roundtable, The Financial Services Forum, the Organization for International Investment and the U.S. Chamber of Commerce represent a broad range of U.S. businesses employing tens of millions of Americans. The organizations recognize the critical importance of foreign investment to both the U.S. economy and to the over five million American jobs it supports.

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