Why Does the United States Oppose Asian Investment?

Abstract

Conventional wisdom portrays the United States as open to foreign investment. This Article challenges that narrative by examining key moments when the U.S. government has not welcomed foreign investment. First, it shows that Anti-Asian sentiment has spurred the creation of U.S. investment law over the past forty years. Second, it attributes this concern about Asian investment to outmoded paradigms about Asia. Third, it shows that fear of Asia continues to influence government decisions at the highest levels, and may continue in the foreseeable future. Third, this Article prescribes solutions that state actors — judicial, executive, legislative — can take to ensure important government decisions are motivated by proper concerns, not outdated notions about racial others.

Keywords: U.S. investment law, CFIUS, Orientalism, critical legal studies, China, Japan, Middle East