China US. Photo:VCG

China firmly opposes the US' finalizing investment restrictions on China and has lodged solemn representations, while reserving the right to take further actions, China's Ministry of Commerce (MOFCOM) said on Wednesday, in a response to the finalization of US investment restrictions on China.

A MOFCOM spokesperson rebuked the US for broadening national security concept to impose discriminatory investment restrictions on China, calling it a clear departure from market practices.

US restrictions target Chinese industries, including semiconductors, artificial intelligence, and quantum computing. The MOFCOM spokesperson noted that most areas within these sectors are unrelated to national security yet will still fall under US bans. 

MOFCOM urged the US side to respect market economy principles, set clear boundaries for national security in trade, and stop politicizing and weaponizing economic issues in order to foster a positive environment for China-US economic and trade cooperation.

The US Department of Treasury on Monday issued final regulations (the Final Rule) implementing Executive Order 14105, named "Addressing United States Investments in Certain National Security Technologies and Products in Countries of Concern," banning people and companies from investing in advanced technology development in China.

The press release alleges that certain US outbound investments may accelerate and enhance the successful development of sensitive technologies by the so-called "countries of concern" that develop them to counter United States and allied capabilities. It added that the rule will take effect on January 2, 2025.

China deplores and rejects the US's Final Rule to curb investment in China. China has protested to the US and will take all measures necessary to firmly defend its lawful rights and interests, Lin Jian, a spokesperson of the Chinese Foreign Ministry said at Tuesday's regular press briefing.