According to a report by The Wall Street Journal on May 19, the new U.S. Ambassador to China, Max Baucus, promoted investment by Chinese enterprises in the U.S. at the first U.S.-China Investment Forum.
Baucus pointed out that the U.S. market is open and welcomes Chinese investment. Regarding the issue of U.S. investment security reviews, he stated that, on one hand, he would do his best to alleviate the concerns many potential Chinese investors have regarding the Committee on Foreign Investment in the United States (CFIUS) review process when acquiring U.S. companies. On the other hand, he explained that the majority of Chinese businesspeople investing in the U.S. do not undergo CFIUS review, and the percentage of rejected mergers and acquisitions is very low; the issue is far less significant than some imagine.
The U.S. has many highways, bridges, and power grids in need of repair. Despite potential political obstacles, Chinese companies should fully utilize these market opportunities to leverage their technological advantages in infrastructure construction. China should keep pace with the early waves of high-profile acquisitions in the U.S. previously made by investors from the Middle East and Japan.
According to a report by the U.S. Chamber of Commerce, between 2013 and 2030, U.S. transportation, power, and water infrastructure construction projects will require $450 million in annual investment, totaling $8 trillion, with more than half allocated to energy infrastructure projects.
