NSCEB Statement on New Outbound Investment Rule that Includes Biotechnology
The NSCEB supports steps to ensure U.S. investments are not supporting technologies that are long term risks to our national security
22 October 2026
FOR IMMEDIATE RELEASE
Washington, DC – The
Today the U.S. Department of Treasury took action on a recommendation from the National Security Commission on Emerging Biotechnology (NSCEB) when it announced a new proposed rule to increase oversight of U.S. outbound investments in Chinese biotechnologies that could pose a national security risk.
The NSCEB made this recommendation in its April 2025 report, because the U.S. government currently lacks a clear understanding of U.S. investments in the Chinese biotechnology sector and cannot make informed policy decisions to support U.S. national security and protect American biotechnology innovation without that visibility.
Read the NSCEB’s April 2025 recommendation on outbound investment here.
Statement from Caitlin Frazer, NSCEB Executive Director:
“The NSCEB was unequivocal in its recommendation that the U.S. needs to take additional steps to prevent U.S. capital from funding Chinese biotechnology that could pose a risk to our national security. Congress agreed and gave Treasury the authority to include biotechnology in the Outbound Investment Security Program. Today’s announcement is a prudent step that aligns with NSCEB’s bipartisan goals of retaining, and in some cases regaining, American leadership in biotechnology.”
About NSCEB: The National Security Commission on Emerging Biotechnology is a time-limited, high-impact legislative branch advisory entity whose purpose is to advance and secure biotechnology, biomanufacturing, and associated technologies for U.S. national security and to prepare the United States for the bioindustrial revolution. The Commission published a comprehensive report in April 2025, including recommendations for action by Congress and the federal government. The bipartisan Commission is composed of Congressionally-appointed Commissioners with members from both the Senate and the House of Representatives as well as experts from industry, academia, and government. For more information about the Commission and to view the report, visit: biotech.senate.gov.
Contacts:
NSCEB: press@biotech.senate.gov
