What Happened?

Foreign investors and American workers could both feel the effects as the federal government reshapes how it screens overseas money coming into U.S. companies. The Congressional Research Service (CRS) published a report on the Committee on Foreign Investment in the United States (CFIUS), an interagency body chaired by the Treasury Secretary that reviews foreign investments for national security risks. ​

CFIUS reviews three broad categories: mergers and acquisitions that could give foreign buyers control of a U.S. business; minority investments in companies tied to critical technologies, infrastructure, or sensitive personal data; and real estate deals near military bases, ports, or airports. In 2025, CFIUS reviewed 347 filings, and the committee adopted mitigation measures for about 12 percent of notices.

Why Does it Matter to Me?

Among the minority investments it reviews, CFIUS covers some investments in businesses that handle sensitive personal data. As of the end of 2025, CFIUS was monitoring 234 mitigation agreements and conditions.

Parties withdrew 61 notices in 2025, 58 of them after investigations had already begun, and they refiled a notice in 51 of those 61 withdrawals.

Both Sides, Now

The CRS report says foreign investors need predictability, while the committee faces demands to streamline reviews and keep the U.S. a premier destination for foreign direct investment. The Trump administration launched a Known Investor Program pilot to speed reviews for certain vetted foreign investors, and President Donald Trump reversed a Biden-era order that had blocked Japanese firm Nippon Steel from acquiring U.S. Steel Corp., permitting the deal under a national security agreement.

Opponents warn that moving faster must not weaken safeguards. CFIUS's own enforcement record shows the risk: in 2018, the committee imposed a $1 million penalty after a transaction party repeatedly breached its mitigation agreement, and in 2024 it imposed a $60 million penalty on T-Mobile for failing to prevent unauthorized access to sensitive data.

The Government Accountability Office (GAO) reported on April 18, 2024, on how CFIUS handles its mitigation agreements, and made five recommendations to Treasury to strengthen its ability to monitor compliance and enforce those agreements.

Congress has stayed engaged through oversight of the Foreign Investment Risk Review Modernization Act (FIRRMA), enacted in 2018, watching how the current administration's priorities differ from its predecessor's.

What Happens Next?

The Trump administration launched a pilot of the Known Investor Program, which aims to speed up reviews for certain vetted foreign investors.

Congress faces broader questions about whether CFIUS has enough authority and resources to enforce mitigation agreements while keeping the U.S. open to investment, questions expected to remain central to congressional oversight of FIRRMA as the administration develops its approach.

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