China Halts Approvals for US-Bound Investments Amid Escalating Trade Fight

China has suspended approvals for companies seeking to establish or expand operations in the United States, according to a Nikkei Asia report citing people familiar with the matter. Local governments and the National Development and Reform Commission stopped processing outbound investment applications in April and have given no indication of when the freeze will be lifted. The measure comes amid increasingly fraught trade talks between Washington and Beijing, which escalated after the United States imposed a 145% tariff on a range of Chinese goods in April. Halting capital outflows adds financial pressure on firms looking to grow in the U.S. market and underscores Beijing’s willingness to leverage investment controls in the broader dispute.