Davis Polk partner Ken Lebrun was quoted in the Financial Times on the increased regulatory scrutiny facing Japanese companies seeking to do business in the U.S. Many Japanese companies are subject to CFIUS reviews, which require them to provide information about their business practices.

“Increasingly, Japanese companies facing a CFIUS review . . . do need to think very carefully about their interconnectivity with China. They have to be able to answer CFIUS’s questions about whether Chinese employees or business partners have access to their technology or IT, whether their cyber security is a weak link, and so on,” Ken explained.

Japanese companies seeking US deals fear more scrutiny of China links,” Financial Times (May 6, 2023) (subscription required)