Determination Regarding Excepted Foreign States, 731 [2021-28598]
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Federal Register / Vol. 87, No. 4 / Thursday, January 6, 2022 / Rules and Regulations
Thea D. Rozman Kendler,
Assistant Secretary for Export
Administration.
and to facilitate coordination with the
United States on matters relating to
investment security.
This determination satisfies the
second criterion in the definition of
excepted foreign state under 31 CFR
800.218 with respect to Australia and
Canada. Therefore, Australia and
Canada are and will remain excepted
foreign states absent further Committee
action and notice in the Federal
Register.
[FR Doc. 2021–28444 Filed 1–5–22; 8:45 am]
BILLING CODE 3510–33–P
DEPARTMENT OF THE TREASURY
Office of Investment Security
31 CFR Part 800
Larry McDonald,
Acting Assistant Secretary for International
Markets.
Determination Regarding Excepted
Foreign States
Office of Investment Security,
Department of the Treasury.
ACTION: Determination.
AGENCY:
The Department of the
Treasury, as Chair of the Committee on
Foreign Investment in the United States,
is publishing the Committee’s
determination that two foreign states
have established and are effectively
utilizing a robust process to analyze
foreign investments for national security
risks and to facilitate coordination with
the United States on matters relating to
investment security.
DATES: Effective January 5, 2022.
FOR FURTHER INFORMATION CONTACT:
Laura Black, Director of Investment
Security Policy and International
Relations, at U.S. Department of the
Treasury, 1500 Pennsylvania Avenue
NW, Washington, DC 20220; telephone:
(202) 622–3425; email: CFIUS.FIRRMA@
treasury.gov.
SUPPLEMENTARY INFORMATION:
SUMMARY:
TKELLEY on DSK125TN23PROD with RULES1
Electronic Availability
The list of excepted foreign states and
additional information with respect to
the Committee on Foreign Investment in
the United States (CFIUS or the
Committee) are available on the
Committee’s section of the Department
of the Treasury website.
Notice of CFIUS Action
The Committee, taking into
consideration the factors identified on
the Committee’s section of the
Department of the Treasury website, has
determined, under the authority of
section 721 of the Defense Production
Act of 1950, as amended, and 31 CFR
800.1001(a), that: (1) Australia has
established and is effectively utilizing a
robust process to analyze foreign
investments for national security risks
and to facilitate coordination with the
United States on matters relating to
investment security; and (2) Canada has
established and is effectively utilizing a
robust process to analyze foreign
investments for national security risks
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[FR Doc. 2021–28598 Filed 1–5–22; 8:45 am]
BILLING CODE 4810–AK–P
DEPARTMENT OF THE TREASURY
Office of Investment Security
31 CFR Parts 800 and 802
Certain Investments in the United
States by Foreign Persons and Certain
Transactions by Foreign Persons
Involving Real Estate in the United
States
Office of Investment Security,
Department of the Treasury.
ACTION: Final rule.
AGENCY:
This final rule adopts without
change the proposed rule modifying the
definitions of ‘‘excepted foreign state’’
and ‘‘excepted real estate foreign state’’
by extending by one year the effective
date of one of two criteria set forth in
the definitions in the regulations
implementing certain provisions of
Section 721 of the Defense Production
Act of 1950, as amended.
DATES: This final rule is effective on
February 4, 2022.
FOR FURTHER INFORMATION CONTACT: For
questions about this rule, contact: Laura
Black, Director of Investment Security
Policy and International Relations,
Meena R. Sharma, Deputy Director of
Investment Security Policy and
International Relations, or Richard
Rowe, Senior Policy Advisor, at U.S.
Department of the Treasury, 1500
Pennsylvania Avenue NW, Washington,
DC 20220; telephone: (202) 622–3425;
email: CFIUS.FIRRMA@treasury.gov.
SUPPLEMENTARY INFORMATION:
SUMMARY:
I. Background
A. Definitions of Excepted Foreign State
and Excepted Real Estate Foreign
State—Sections 800.218 and 802.214
On November 15, 2021, the
Department of the Treasury (Treasury
Department) published a proposed rule
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731
amending the definitions of ‘‘excepted
foreign state’’ and ‘‘excepted real estate
foreign state’’ in 31 CFR part 800 and 31
CFR part 802, respectively. 86 FR 62978.
These terms operate together with other
relevant terms to provide an exception
from the jurisdiction of the Committee
on Foreign Investment in the United
States (CFIUS or the Committee) over
covered investments by certain foreign
persons who meet specific criteria
establishing sufficiently close ties to
certain foreign states, as well as certain
other provisions of the Foreign
Investment Risk Review Modernization
Act of 2018.
The preamble to the proposed rule
provides background on CFIUS’s
statutory authority and the rationale for
these definitional changes. The public
was provided an opportunity to
comment on the proposed rule and
comments were due by December 10,
2021. The Treasury Department
received two comments prior to the
deadline, which are described in the
next section.
B. Excepted Foreign States and
Excepted Real Estate Foreign States
As described in the preamble to the
proposed rule, ‘‘excepted foreign state’’
and ‘‘excepted real estate foreign state’’
are each defined by a two-criteria
conjunctive test, with delayed
effectiveness for the second criterion.
This second criterion is a Committee
determination under § 800.1001(a) for
each eligible foreign state that it has
established and ‘‘is effectively utilizing’’
a robust process to analyze foreign
investments for national security risks
and to facilitate coordination with the
United States on matters relating to
investment security, and a Committee
determination under § 802.1001(a) for
each eligible foreign state that it has
‘‘made significant progress’’ toward
establishing and effectively utilizing the
robust process that is described in
§ 800.1001. The final rule extends the
effectiveness of the second criterion
with respect to each definition. Instead
of becoming effective on February 13,
2022, each such second criterion will
become effective on February 13, 2023.
II. Summary of Comments
During the public comment period,
the Treasury Department received two
comments to the proposed rule. The
Treasury Department considered each
submitted comment. All comments
received by the end of the comment
period are available on the public
rulemaking docket at https://
www.regulations.gov and addressed
herein.
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[Federal Register Volume 87, Number 4 (Thursday, January 6, 2022)]
[Rules and Regulations]
[Page 731]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-28598]
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DEPARTMENT OF THE TREASURY
Office of Investment Security
31 CFR Part 800
Determination Regarding Excepted Foreign States
AGENCY: Office of Investment Security, Department of the Treasury.
ACTION: Determination.
-----------------------------------------------------------------------
SUMMARY: The Department of the Treasury, as Chair of the Committee on
Foreign Investment in the United States, is publishing the Committee's
determination that two foreign states have established and are
effectively utilizing a robust process to analyze foreign investments
for national security risks and to facilitate coordination with the
United States on matters relating to investment security.
DATES: Effective January 5, 2022.
FOR FURTHER INFORMATION CONTACT: Laura Black, Director of Investment
Security Policy and International Relations, at U.S. Department of the
Treasury, 1500 Pennsylvania Avenue NW, Washington, DC 20220; telephone:
(202) 622-3425; email: [email protected].
SUPPLEMENTARY INFORMATION:
Electronic Availability
The list of excepted foreign states and additional information with
respect to the Committee on Foreign Investment in the United States
(CFIUS or the Committee) are available on the Committee's section of
the Department of the Treasury website.
Notice of CFIUS Action
The Committee, taking into consideration the factors identified on
the Committee's section of the Department of the Treasury website, has
determined, under the authority of section 721 of the Defense
Production Act of 1950, as amended, and 31 CFR 800.1001(a), that: (1)
Australia has established and is effectively utilizing a robust process
to analyze foreign investments for national security risks and to
facilitate coordination with the United States on matters relating to
investment security; and (2) Canada has established and is effectively
utilizing a robust process to analyze foreign investments for national
security risks and to facilitate coordination with the United States on
matters relating to investment security.
This determination satisfies the second criterion in the definition
of excepted foreign state under 31 CFR 800.218 with respect to
Australia and Canada. Therefore, Australia and Canada are and will
remain excepted foreign states absent further Committee action and
notice in the Federal Register.
Larry McDonald,
Acting Assistant Secretary for International Markets.
[FR Doc. 2021-28598 Filed 1-5-22; 8:45 am]
BILLING CODE 4810-AK-P
