New U.S. Government Regulation on Restricted Outbound Investments

Chelsea Ellis authored an analysis published by LawFuel examining the U.S. Department of the Treasury's final regulations implementing the Outbound Investment Security Program (31 C.F.R. Part 850), commonly referred to as the "Reverse CFIUS" regulations.

Drawing on insights from the 2024 Outbound Investment Security Conference in Washington, D.C., the article explains the practical implications of the new regulatory framework for U.S. persons investing in countries of concern and outlines key compliance considerations before the rules took effect on January 2, 2025.

The publication examines jurisdictional scope, ownership thresholds, due diligence expectations, prohibited and notifiable transactions involving advanced technologies, and the increasing coordination between the United States and allied governments on outbound investment security.

Key topics include:

• The Outbound Investment Security Program (Reverse CFIUS)
• Covered foreign persons and jurisdictional scope
• Ownership and control analysis
• Due diligence expectations for U.S. investors
• Semiconductor, artificial intelligence, and quantum technology thresholds
• Notifiable versus prohibited transactions
• International coordination on outbound investment regulation
• Practical compliance considerations for multinational businesses

‍

Please see the Law Fuel Article published here: https://www.lawfuel.com/new-u-s-government-regulation-on-restricted-outbound-investments/.