US lawmakers are signaling to China that the world’s second-largest economy and its companies face a tough slog in America for the foreseeable future, regardless of who controls Washington after the November election.
At a divisive point in the country’s campaign cycle, House members overcame partisan tensions to vote resoundingly last week to blacklist several Chinese biotech firms from lucrative US-funded research. It was a rare moment of accord that roundly neutralised Chinese lobbying efforts.
Bloomberg Intelligence says that the Biosecure Act, affecting five companies to start, has a “high likelihood” of becoming law as it now moves to the US Senate. BGI Group, BGI spinoffs MGI Tech Co. and MGI’s US subsidiary Complete Genomics Inc., WuXi AppTec Co., and WuXi Biologics are the companies that would be impacted.
More bills are likely to follow.
One influential Democratic senator, Intelligence Chairman Mark Warner, opened the door to broader legislation setting rules for Chinese technology companies rather what he calls a “Whac-a-Mole” approach targeting specific firms.
Strategic industries like artificial intelligence and advanced computing may be next, other lawmakers in both parties said. Temu, the online shopping giant, and other Chinese exporters face bipartisan efforts to eliminate a tariff exemption that has helped fuel their US business.
The House has also passed numerous other bills…
