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- Frequently Asked Questions and Answers Regarding the Trump Administrations Push to Secure Supply Chains in the United States
Frequently Asked Questions and Answers Regarding the Trump Administration’s Push to Secure Supply Chains in the United States
June 9, 2020, Covington Alert
It has been publicly reported that discussions are underway within the Trump Administration for a coordinated interagency initiative to remove key industrial supply chain dependencies from overseas, especially China, and redouble efforts to secure such supply chains in the United States. While this initiative proceeds alongside ongoing efforts to secure supply chains in sectors such as semiconductor manufacturing, rare earth minerals processing, and more recently, medical supply manufacturing, the new initiative is expected to extend beyond such sectors in an effort to reduce import dependencies in a range of industries, such as advanced manufacturing. Further, the Administration’s effort is expected to involve expanded government action, including both affirmative and punitive measures, to encourage the reshoring of production. This report addresses what is currently known, and, importantly, what is still uncertain, regarding the new initiative.
September 21, 2020, Covington Alert
On September 19, 2020, China’s Ministry of Commerce ("MOFCOM") issued regulations that provide new details on the government’s plans for an “Unreliable Entity List” first proposed in May 2019.
August 28, 2019, Covington Alert
On August 23, 2019, President Donald J. Trump tweeted: "Our great American companies are hereby ordered to immediately start looking for an alternative to China, including bringing . . . your companies HOME and making your products in the USA."
June 27, 2018, Covington Alert
We write to report on two important developments regarding the Foreign Investment Risk Review Modernization Act (FIRRMA), a bi-partisan effort to reform the Committee on Foreign Investment in the United States (CFIUS), and the broader policy debate within the U.S. government on regulatory mechanisms to address foreign investment, particularly from China. On June ...