By Mario Mancuso and Luci Hague (June 17, 2022, 3:36 PM EDT) — The other shoe has fallen. A new proposed version of the National Critical Capabilities Defense Act was quietly released on June 13.
The proposed legislation would establish, for the first time, an outbound investment screening mechanism overseen by a new committee on national critical capabilities that would regulate U.S. outbound investment in certain U.S. and non-U.S. companies on national security grounds.
The committee would effectively operate as a reverse version of the Committee on Foreign Investment in the United States. The concept of a “reverse CFIUS” is not new. Initial iterations of CFIUS reform legislation in 2017 contained provisions that would…