In 2024, the FSR’s first year in operation saw a large number of filings but limited enforcement, with only a handful of Phase 2 reviews, one conditional merger clearance and two ex officio cases. With the FSR now up and running, in 2025, we expect the EC’s focus to be on demonstrating the FSR’s value and delivering practical results by stepping up enforcement, building a corpus of reasoned decisions, and – it is hoped – developing a more streamlined process for non-issue cases.
Continue Reading The EU Foreign Subsidies Regulation: 2024 in Review and Predictions for 2025President Trump Imposes Additional Tariffs on China, Delays Tariffs on Canada and Mexico
On February 1, President Trump issued executive orders imposing sweeping tariffs on products of Canadian, Mexican, and Chinese origin pursuant to his authority under the International Emergency Economic Powers Act, 50 U.S.C. 1701, et seq. (IEEPA), after expanding previously-declared national emergencies to respond to the “extraordinary threat posed by illegal aliens and drugs, including deadly fentanyl.”
Continue Reading President Trump Imposes Additional Tariffs on China, Delays Tariffs on Canada and MexicoTrump Tariffs: What’s Happened, What’s Potentially Coming, and How to Prepare
For more insights and analysis from Cleary lawyers on policy and regulatory developments from a legal perspective, visit What to Expect From a Second Trump Administration.
With President Trump taking office last week, U.S. and non-U.S. companies are bracing for a new wave of potential tariffs, which the President has repeatedly promised to impose during his second term. In the months and days leading up to the election, President Trump touted his plan for extensive, across-the-board tariffs even against allies, including Canada, Mexico, and the European Union.
Continue Reading Trump Tariffs: What’s Happened, What’s Potentially Coming, and How to PrepareGlobal FDI Newsletter: October – December 2024
Global FDI enforcement continued to evolve rapidly in Q4 2024, as shown by the range of developments summarized in this newsletter.
Continue Reading Global FDI Newsletter: October – December 2024Trade Controls: Recent Developments and Changes on the Horizon for 2025
The following is part of our annual publication Selected Issues for Boards of Directors in 2025. Explore all topics or download the PDF.
The second Trump Administration is expected to mark the return of a more transactional foreign policy approach, with an openness to dealmaking supported by the aggressive use (or threat) of trade controls. Boards should, therefore, expect the U.S. government to continue to rely on trade controls as a key foreign policy tool. Although specific actions remain uncertain, significant change is possible on a number of fronts, including sanctions relating to China, Russia, Iran, Syria and Venezuela.
Continue Reading Trade Controls: Recent Developments and Changes on the Horizon for 2025The EU Commission Urges Member States to Review Outbound Investments
On January 15, 2025, the European Commission (the “EC”) published a recommendation (the “Recommendation”)[1] addressed to all EU Member States urging them to review “outbound investments” in certain critical technologies sectors, notably semiconductors, artificial intelligence (“AI”), and quantum technologies.
Continue Reading The EU Commission Urges Member States to Review Outbound InvestmentsOFAC Expands Sanctions against Russian Energy Sector
On January 10, 2025, the U.S. Department of the Treasury, Office of Foreign Assets Control (“OFAC”) issued sweeping new sanctions targeting Russia’s energy sector, including the imposition of a new petroleum services ban, expanded secondary sanctions authority, and designations of certain Russian oil producers, insurance providers, and more than 180 so-called “shadow fleet” vessels. Until this time, U.S. sanctions specific to the Russian energy sector generally were limited to a ban on maritime services for oil and petroleum products sold at or below the relevant price caps, designations of specific projects, traders, or vessels, and certain pre-2022 targeted sectoral sanctions and secondary sanctions authorities.
Continue Reading OFAC Expands Sanctions against Russian Energy SectorCommerce Issues Final ICTS Rule; Takes Steps to Implement the Program
By Chase D. Kaniecki, Samuel H. Chang & Ryan Brown on
On December 5, 2024, the U.S. Department of Commerce, Bureau of Industry and Security (“BIS”) issued a final rule (the “Final Rule”) implementing the procedures BIS will follow when reviewing information and communications technology (“ICTS”) transactions that may pose a risk to U.S. national security pursuant to Executive Order (E.O.) 13873.[1] In particular, the Final Rule authorizes the Secretary of Commerce (the “Secretary”) (or the Secretary’s designee, e.g., the Under Secretary of Commerce for Industry and Security) to review, prohibit, or impose mitigation measures on certain types of transactions (“Covered ICTS Transactions”) that involve ICTS designed, developed, manufactured, or supplied by persons owned by, controlled by, or subject to the jurisdiction or direction of a foreign adversary and that pose an undue or unacceptable risk to U.S. national security. We consider each of these concepts below, after which we discuss the review, prohibition, and mitigation processes associated with covered transactions.
Continue Reading Commerce Issues Final ICTS Rule; Takes Steps to Implement the ProgramPresident Biden Issues Order Blocking the Proposed Acquisition of United States Steel Corporation by Nippon Steel Corporation, and The Parties Sue for a New Review
On January 3, 2025, President Biden issued an executive order (the “Order”) prohibiting the proposed acquisition of United States Steel Corporation (“U.S. Steel”) by Japan-based Nippon Steel Corporation (“Nippon Steel”) on the basis that the transaction could threaten to impair the national security of the United States (the “Order”). The Committee on Foreign Investment in the United States (“CFIUS”) referred the transaction to the President on December 23, 2024.
Continue Reading President Biden Issues Order Blocking the Proposed Acquisition of United States Steel Corporation by Nippon Steel Corporation, and The Parties Sue for a New ReviewYou’re Invited: U.S. Outbound Investment Security Program Webinar on January 7, 2025
By Cleary Gottlieb on
The Treasury Department has released its “Final Rule” which will impose on U.S. persons notification requirements and restrictions for transactions involving entities engaged in activities relating to semiconductors and microelectronics, quantum information technologies, and artificial intelligence systems in “countries of concern.” The rule will go into effect on January 2, 2025.
Continue Reading You’re Invited: U.S. Outbound Investment Security Program Webinar on January 7, 2025