Sec. 4. Foreign direct investment review

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The Secretary and the Comptroller General of United States, in consultation with the Federal Interagency Investment Working Group and the heads of other relevant Federal departments and agencies, shall conduct an interagency review of the global competitiveness of the United States in attracting foreign direct investment from responsible private sector entities based in trusted countries that addresses key foreign trade barriers that firms in advanced technology sectors face in the global digital economy. The review conducted under subsection

(a)shall include a review of the following: The current economic impact of foreign direct investment in the United States, with particular focus on manufacturing, services, trade (with an emphasis on digital trade), and jobs in the United States. Trends in global cross-border investment and data flows and the underlying factors for those trends. Federal Government policies that facilitate foreign direct investment attraction and retention from responsible private sector entities based in trusted countries. Foreign direct investment compared to direct investment by domestic entities. Foreign direct investment that takes the form of greenfield investment compared to foreign direct investment relating to merger and acquisition activity. The unique challenges posed by foreign direct investment, particularly acquisitions, in the United States by State-owned or State-backed enterprises, especially from State-directed economies, including companies or other entities owned, directed, supported, or influenced by the Chinese Communist Party. Specific information on the prevalence of investments made by State-owned or State-backed enterprises, especially from State-directed economies, including companies or other entities owned, directed, supported, or influenced by the Chinese Communist Party, with a particular focus on investments relating to manufacturing, services, trade (with an emphasis on digital trade), and jobs. How trusted countries are dealing with the challenge of State-directed and State-supported investment and whether there are opportunities to work with like-minded countries to address that challenge. Ongoing Federal Government efforts to improve the investment climate and facilitate greater levels of foreign direct investment in the United States from responsible private sector entities based in trusted countries. Innovative and noteworthy initiatives by State and local government to attract foreign investment from responsible private sector entities based in trusted countries. Initiatives by other countries to identify best practices for increasing global competitiveness in attracting foreign direct investment from responsible private sector entities based in trusted countries. The impact that protectionist policies by other countries, including forced data localization rules, forced localization of production, industrial subsidies, and the infringement of intellectual property rights, have on the advanced technology economy of the United States and the ability for firms located in the United States to develop innovative technologies. Other barriers to the ability of the United States to compete globally in an increasingly connected and digital global economy, including the use of technical barriers to trade, country-specific standards for technology products, and digital services. The adequacy of efforts by the Federal Government to encourage and facilitate foreign direct investment in the United States. Efforts by the Chinese Communist Party to circumvent existing laws to gain access to— markets in the United States; foreign direct investment in responsible private sector entities based in trusted countries; or intellectual property. The review conducted under subsection

(a)shall not address laws or policies relating to the Committee on Foreign Investment in the United States. Before the date on which the Secretary begins the review required under subsection (a), the Secretary shall— publish in the Federal Register notice of the review; and provide an opportunity for public comment on the matters to be covered by the review. Before the date on which the Secretary submits the report required under subsection (e), the Secretary shall— publish in the Federal Register the proposed findings and recommendations contained in the report; and provide an opportunity for public comment. Not later than 1 year after the date of enactment of this Act, the Secretary, in coordination with the Federal Interagency Investment Working Group and the heads of other relevant Federal departments and agencies, shall submit to Congress a report on the findings of the review required under subsection

(a)that includes recommendations for increasing the global competitiveness of the United States in attracting foreign direct investment from responsible private sector entities based in trusted countries in a manner that strengthens or maintains the security, labor, consumer, financial, or environmental protections of the United States.