US Treasury Proposes Adding Biotechnology to Outbound Investment Restrictions

07:27 PM EDT, 10/22/2026 (MT Newswires) -- The US Treasury Department on Thursday proposed adding biotechnology to the technologies subject to restrictions on US investment in countries of concern, under a proposed rule implementing the Comprehensive Outbound Investment Security Act. The rule would require US persons to notify Treasury of certain transactions involving covered foreign companies and prohibit others. Treasury said it used its authority under the law to add biotechnology to the five sectors the act specifies. The COINS Act, passed as part of the fiscal 2026 National Defense Authorization Act, specifies five technology sectors: semiconductors and microelectronics, artificial intelligence, quantum information, high-performance computing and hypersonic systems. Treasury said the law lets it add other technologies that enable military, intelligence, surveillance or cyber capabilities of a country of concern, and it used that authority to include biotechnology. The proposal also covers definitions, excepted transactions, notification requirements, the standard of diligence expected of investors, and penalties for violations. The Treasury is seeking public comment before issuing final regulations, which will set an effective date.