5 Steps to Obtaining an Exemption under President Trump’s Steel and Aluminum Tariffs

If your company is a U.S. consumer of imported steel or aluminum, the new tariffs announced by President Trump on March 8, 2018 are bad news. The good news is that you can petition the government for exclusions of certain products. Formal procedures for such petitions won’t be published until March 19. But there are steps you can take now to prepare. Continue Reading

Chips on Their Shoulders: CFIUS Intervenes in Broadcom’s Hostile Takeover Bid for Qualcomm

  • CFIUS takes an unprecedented step to fend off a potential foreign acquisition
  • The threat that China will eclipse the U.S. in telecommunications infrastructure and technology is central to U.S. national security
  • Five key takeaways from the most recent CFIUS action

Since late 2017, Singapore-based semiconductor company Broadcom has been pursuing a $117 billion hostile takeover bid for Qualcomm, its U.S.-based rival whose chips are omnipresent in U.S. telecommunications infrastructure, including consumer devices like smartphones and tablets. As part of its hostile bid, Broadcom nominated its own slate of six directors who were to be voted on at Qualcomm’s annual stockholders meeting, originally scheduled for March 6th. However, earlier this week the Committee on Foreign Investment in the United States (CFIUS) announced that it “issued an interim order to Qualcomm directing it to postpone its annual stockholders meeting and election of directors by 30 days. This measure will afford CFIUS the ability to investigate fully Broadcom’s proposed acquisition of Qualcomm.” Continue Reading

Lurches, Leaps, Feints, and Flops: Movements Without Motion in Russian Sanctions Policy

Since the U.S. Government determined that Russia interfered in the 2016 election[1], movement around Russia sanctions policy has been vigorous, if not unidirectional. In 2016, the United States implemented twice sanctions against Russia: In September, dozens of individuals and entities were sanctioned with regards to Russian operations in Crimea. In December, President Obama expelled 35 Russian intelligence agents from the U.S. and imposed sanctions on two major intelligence services, as a response to those interferences from Russia. In 2017, concerned that the new Administration might roll back certain sanctions on Russia, Congress overwhelmingly passed the Countering America’s Adversaries Through Sanctions Act, codifying and adding to sanctions on Russia already in place (which we reported on here).

In January, we anticipated two more moves mandated under CAATSA: 1) the publication of a List of Senior Political Figures and Oligarchs in the Russian Federation and 2) sanctions against entities and individuals that had conducted significant transactions with the defense and intelligence sectors in Russia. It appears that one was a feint and the other, a flop. Continue Reading

2018 EU Trade, Regulatory and Competition Trends


Our “trends for 2018” are only a selection of interesting developments to watch for in 2018.

Within the political and legislative cycle of the European Union, 2018 promises to be an eventful year, given that it is the last full year before the 2019 EU elections when a new European Commission will be appointed and the European Parliament will hold new elections. This means, in practice, that there will be pressure in 2018 on the current European Commission and European Parliament to act on all their initiatives and to complete their legislative agenda.

Our team of EU lawyers will continue to report on noteworthy developments including for instance, Brexit and its implications for competition and regulatory policies, the surge in foreign direct investment controls, the opening of new competition enforcement fronts, the practical implementation of the EU damages directive, as well as the development of alternative means of resolution in competition investigations and their impact on rights of defence.

We invite you to contact us directly should you have an interest in discussing any topic further or in obtaining additional information. We hope you will enjoy the read! Continue Reading

Could the Crypto-Rouble Spell Crypto-Trouble for Sanctions?

Russian President Vladmir Putin has directed his government to develop a state-backed cryptocurrency, according to a Financial Times report published on January 2nd. A Putin advisor says that the “Crypto-rouble” could be used to “settle accounts with our counterparties all over the world with no regard for sanctions.” He added that Russia’s cryptocurrency would be “the same rouble, but its circulation would be restricted in a certain way.”

There’s a lot to unpack there. Broadly, establishing a cryptocurrency that the Kremlin can track defeats two of the main purposes of cryptocurrency: to provide anonymity and to remove government central banks from transactions. Continue Reading

Seeking foreign investors for your tech startup? Congress says, “not so fast.”

The U.S. Congress is currently considering legislation that would tap the brakes on foreign direct investment in the United States, particularly on investments in sensitive industries like artificial intelligence, robotics, and semiconductors. We know: you’re saying we already have that in the form of the Committee on Foreign Investment in the United States (known as CFIUS). Continue Reading

In-fo’ a CFIUS Review: The Expanding Power of CFIUS through Data Security Scrutiny

CFIUS is expanding its reach. Where the Committee on Foreign Investment in the United States has generally scrutinized foreign acquisition of U.S. “critical infrastructure,” it has now signaled that it may look closely at any deal where the target collects or maintains sensitive personal information. Continue Reading

Confused by the Evolving Travel Ban? Here’s a Cheat Sheet with the Latest Guidance

While the Travel Ban continues to move up and down the federal court system, here are the latest rules governing travel for citizens of the affected countries as a result of the U.S. Supreme Court’s lifting of the lower courts’ injunctions on December 4, 2017, a December 22 ruling by the Ninth Circuit invalidating the latest travel ban but not enjoining it, and recent action by a Federal District Court in Seattle partially lifting the refugee ban on December 23, 2017: Continue Reading

The Waiting Game: When, Why, and How to File with CFIUS in a New Era of Investment Scrutiny

The other day I spoke to a colleague at the U.S. Department of the Treasury who works in the Office of Investment Security and said, “I heard CFIUS filings were going to break last year’s record total.” He just laughed. He said the OIS received one hundred and seventy-some filings in 2016, the most they had ever received in a year.

This year, only in November, they were over 225 submissions!

Of course, all of this was just talk and should not be relied on for statistical analysis. But it gives you a good idea of the flood of CFIUS filings that the Committee is now tasked with reviewing. While my contact was sanguine on the possibility of adding some new folks soon to his office soon, he noted that the OIS staff – whom he called the best of the best – has not yet been increased to meet the surge in demand.

So what does this mean for your inbound investment into the United States? We explore that question and provide a few tips below. In addition to a present snapshot of CFIUS, we have a look at the future of CFIUS as a proposed Senate bill aims to increase scrutiny on foreign investment. Continue Reading