Congressman Mike Gallagher (center), chairman of the House Select Committee on the Communist Party of China, speaks during a post-Republican caucus press conference at the Republican National Committee offices in Washington, DC, on February 28, 2023. Republican Rep. Elise Stefanik (left) and Majority Whip Steve Scalise.
Chip Somodevilla | Getty Images
Sequoia Capital China, Qualcomm Ventures and three other venture capital firms funneled at least $3 billion to Chinese tech companies that support China's military and its oppression of ethnic minorities in Xinjiang, according to a U.S. Congressional report on Thursday. be done.
The House Select Committee on China, led by Republican Rep. Mike Gallagher, released the report, which also found unsavory relationships between GGV Capital, GSR Ventures, and Walden International with Chinese artificial intelligence and semiconductor companies. We are investigating.
Reuters was unable to reach the venture capital firms for comment.
The committee calls on the Biden administration to restrict U.S. investment in Chinese companies sanctioned by the U.S. government for ties to the Chinese military and oppression of minorities, reinforcing recent U.S. investment restrictions in China. and called for more areas to be covered.
“The status quo cannot be sustained… Decades of investments from U.S. venture capital, including funding, knowledge transfer, and other intangible benefits, have helped build and strengthen China’s (People’s Republic of China) priority sectors. ”, the report states.
The White House did not respond to requests for comment.
The Chinese embassy in Washington said restricting U.S. investment in China under the pretext of national security and human rights “undermines the principles of free trade, destabilizes global supply chains, and is not in anyone's interest.” Stated. . ”
