U.S. to Review Foreign Investment Rules, Prioritizing 'Trusted Countries' to Boost Jobs and Tech: New Bill Aims to Reshape Global Economic Ties by 2026

The Global Investment in American Jobs Act of 2025 is all about making the U.S. a magnet for foreign investment, but with a catch—it's focusing on what it calls "trusted countries." The goal? To boost American jobs, pump up our tech sector, and cut down our reliance on supply chains from China. This bill, signed into law, directs a deep dive into how foreign money flows into the U.S. and how we can attract more of it—while keeping an eye on national security.

Revamping Investment Strategies

The core of the Act is a comprehensive review led by the Secretary of Commerce and the Comptroller General. They're tasked with figuring out how to make the U.S. even more attractive to foreign investors from countries we consider allies. This isn't just about opening the doors wider; it's about smart growth. Think more factories, service hubs, and tech startups sprouting up across the country, all thanks to foreign investment. For example, a European tech firm could set up a new R&D center in the U.S., creating jobs and pushing innovation forward. (SEC. 3)

Real-World Rollout

So, how does this affect everyday life? If you're in manufacturing, services, or tech, this could mean more job opportunities as foreign companies expand their U.S. operations. The bill also looks at the impact of these investments, good and bad, to ensure they benefit American workers and the economy. The review will compare foreign direct investment to domestic investment and examine how much of it is "greenfield investment" (building new facilities) versus mergers and acquisitions. (SEC. 3)

Challenges on the Horizon

One of the big challenges is dealing with investments from state-owned or state-backed enterprises, especially those linked to the Chinese Communist Party. The Act specifically calls out the need to protect U.S. interests, jobs, and intellectual property from such investments. (SEC. 2, SEC. 3) The review will analyze how other "trusted countries" handle similar issues, offering potential strategies for the U.S. It's a balancing act between attracting investment and protecting national interests. The Act also aims to tackle protectionist policies from other countries, like forced data localization and intellectual property theft, which hurt U.S. tech companies. (SEC. 3)

Fitting into the Bigger Picture

This Act fits into a broader push to maintain U.S. economic leadership in a world where digital technology and global investment are increasingly important. It acknowledges that while foreign investment can be a powerful economic engine, it needs to be managed carefully to avoid risks, particularly from countries not considered "trusted." "Responsible private-sector entity" means an entity not organized under the laws of a foreign adversary and not owned, controlled, or influenced by a foreign adversary. (SEC. 3) The Secretary of Commerce gets to decide which countries are considered "adversaries," which is a significant responsibility. The bill mandates a report to Congress within one year, complete with findings and recommendations, all aimed at making the U.S. the top choice for foreign investment, while keeping our security, labor, and environmental standards intact. (SEC. 3)