Outbound Investment Transparency Act of 2023
Latest action (27 Jul 2023): Introduced
What this bill does
The Outbound Investment Transparency Act of 2023 would amend the Defense Production Act of 1950 to create a new notification system for certain U.S. investments abroad. It would require U.S. persons planning investments, joint ventures, subsidiaries, or similar business arrangements with entities connected to designated "countries of concern" in specific technology sectors—including advanced semiconductors, artificial intelligence, quantum information technology, hypersonics, satellite communications, and certain laser scanning systems—to notify the Treasury Department before or shortly after completing the transaction. The Treasury Secretary, coordinating with Commerce and consulting with other agencies, would write regulations defining key terms, exceptions, and covered sectors within about a year of enactment.
The bill primarily affects U.S. businesses and individuals engaged in cross-border investment or technology partnerships involving countries of concern. Submitted information would generally be kept confidential, with exceptions for congressional oversight, legal proceedings, or national security sharing with allies. Failure to notify or providing false information could lead to enforcement action through the courts. The bill also directs the State Department to coordinate with allied nations on similar screening systems and requires periodic reports to Congress on trends, risks, and program impacts.
The bill was introduced in the Senate on July 27, 2023, by Senator John Cornyn, with Senator Casey as a cosponsor, and referred to the Committee on Banking, Housing, and Urban Affairs. It has not received a committee vote or floor action, and no further action has occurred as of the latest update. It would need committee approval and passage by both chambers before becoming law.
Plain-English summary generated by Bill100 AI from the official record. Always verify against the source below.
Official summary
Outbound Investment Transparency Act of 2023
This bill requires U.S. persons to notify the Department of the Treasury when making investments in or engaging in other economic activity associated with North Korea, China, Russia, or Iran. This requirement applies to U.S. persons in certain sectors, including advanced semiconductors and microelectronics, artificial intelligence, and satellite-based communications. Covered activities that trigger the notification requirement include investing in an entity, establishing a venture or subsidiary, or acquiring certain positions in an entity in these countries.
U.S. persons must notify Treasury 14 days before engaging in a covered activity. However, if the covered activity is a secured transaction, notification must be provided not later than 14 days after the transaction.
Specific information or documentary material provided to Treasury is not subject to public disclosure, with certain exceptions.
Treasury must at least annually report to Congress a summary of the notifications received under this bill.
The Department of State must engage with allied countries to coordinate protocols, procedures, and information sharing regarding these investments. The Department of Justice has the authority to enforce this bill.
Common questions
- What does S. 2678 do?
- The Outbound Investment Transparency Act of 2023 would amend the Defense Production Act of 1950 to create a new notification system for certain U.S. investments abroad. It would require U.S. persons planning investments, joint ventures, subsidiaries, or similar business arrangements with entities connected to designated "countries of concern" in specific technology sectors—including advanced semiconductors, artificial intelligence, quantum information technology, hypersonics, satellite communications, and certain laser scanning systems—to notify the Treasury Department before or shortly after completing the transaction. The Treasury Secretary, coordinating with Commerce and consulting with other agencies, would write regulations defining key terms, exceptions, and covered sectors within about a year of enactment. The bill primarily affects U.S. businesses and individuals engaged in cross-border investment or technology partnerships involving countries of concern. Submitted information would generally be kept confidential, with exceptions for congressional oversight, legal proceedings, or national security sharing with allies. Failure to notify or providing false information could lead to enforcement action through the courts. The bill also directs the State Department to coordinate with allied nations on similar screening systems and requires periodic reports to Congress on trends, risks, and program impacts. The bill was introduced in the Senate on July 27, 2023, by Senator John Cornyn, with Senator Casey as a cosponsor, and referred to the Committee on Banking, Housing, and Urban Affairs. It has not received a committee vote or floor action, and no further action has occurred as of the latest update. It would need committee approval and passage by both chambers before becoming law.
- Has S. 2678 become law?
- Not yet. As of 27 Jul 2023, S. 2678 is introduced.
- Who sponsored S. 2678?
- S. 2678 was sponsored by Sen. John Cornyn [R-TX] (Republican-TX), with 2 cosponsors.
- What's the latest action on S. 2678?
- Introduced (27 Jul 2023).
Related bills in Finance and Financial Sector
Terrorism Risk Insurance Program Reauthorization Act of 2026
Small Business Audit Correction Act of 2026
Bankruptcy Threshold Adjustment Act
Consumer Financial Protection Accountability and Reform Act of 2026
Bill100 mirrors the public U.S. legislative record from Congress.gov and GovTrack and adds plain-English AI summaries. It is an information tool, not legal, compliance or lobbying advice, and it is not affiliated with the U.S. Congress or any government agency. AI summaries can simplify or omit detail — every bill links to the official source; verify there before you rely on it.