Committee on Foreign Investment in the United States

The Committee on Foreign Investment in the United States (CFIUS, ) is an inter-agency committee of the United States government which reviews the national security implications of foreign investments in U.S. companies or operations, using classified information from the United States Intelligence Community. CFIUS is chaired by the United States Secretary of the Treasury, and it includes representatives from 16 U.S. executive departments and agencies, including the Departments of Defense, State and Commerce , as well as (most recently) the Department of Homeland Security. Additionally, certain White House offices observe and participate, if needed. These offices include the Office of Management & Budget, Council of Economic Advisers, National Security Council, Homeland Security Council, and National Economic Council. CFIUS was first established in 1975 by President Gerald Ford's , initially to study foreign investment. But during the 1980s, fear of Japanese investment (and in particular a proposed purchase of Fairchild Semiconductor by Fujitsu) led Congress to pass the Exon–Florio Amendment in 1988, which empowered CFIUS to reject deals. CFIUS is further codified under law via Section 721 of the Defense Production Act and Foreign Investment and National Security Act of 2007. CFIUS does not acknowledge which deals are under review, does not require the involvement of any of the parties of a deal, and does not publicly announce its findings. There is no statute of limitations for CFIUS to exert jurisdiction over a transaction. Companies/persons that failed to make an appropriate filing for old and/or new transactions may result in a penalty if done so in gross negligence or intent to evade the law. Process All companies proposing to be involved in an acquisition by a foreign firm are supposed to voluntarily notify CFIUS, but CFIUS can review transactions that are not voluntarily submitted.