The United States Department of the Treasury has proposed expanding restrictions on American investments into Chinese artificial intelligence, biotechnology, and advanced technology sectors. The draft framework prohibits certain direct investments while subjecting others to mandatory 30-day reporting, with exemptions for standard publicly traded securities. The public comment period remains open until December 7 before final implementation.
An analysis published by the Australian Strategic Policy Institute highlights how front companies in jurisdictions including the UAE and Hong Kong facilitate cross-border settlements for Russian trade. The article notes correspondent banking flows involving UAE, Chinese, and US financial institutions and warns of heightened secondary sanctions scrutiny.
The United Arab Emirates increased its holdings of US Treasury bonds to $116.1 billion in August, rising by $6 billion compared to July 2026, according to US Treasury Department data reported by Voice of Emirates. In contrast, China's holdings fell to $590.7 billion from $618 billion, hitting their lowest level since August 2008. Total foreign holdings of US Treasuries edged up to $9.331 trillion during the month.
US Senators Jeanne Shaheen and Roger Wicker sent a letter urging the Trump administration to execute new sanctions ahead of an October 18 deadline. The lawmakers called for crackdowns on Russian oil trading intermediaries in Dubai and Hong Kong, as well as transit networks in China and the UAE. They also urged the Treasury Department to target illicit banking channels, specifically naming overseas branches including VTB Bank in Shanghai.
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