Trump blocks $1.3billion sale of US tech company to China for ‘national security’ reasons

‘President Donald Trump has blocked one of the largest attempted acquisitions of a US company by a Chinese firm, with the tough policy against China continuing, despite the exiting of White House chief strategist Steve Bannon, who favored “economic nationalism.”

On Wednesday, Trump issued an executive order through the Defense Production Act of 1950, denying the Chinese-backed private equity firm Canyon Bridge Capital Partners from acquiring US-based chipmaker Lattice Semiconductor Corporation for $1.3 billion.

Trump stated that Canyon Bridge “shall take all steps necessary to fully and permanently abandon the proposed transaction,” within a timeframe of 30 days, according to Reuters.

Treasury Secretary Steve Mnuchin released a written statement on Wednesday outlining the reason for blocking the deal.

“Consistent with the administration’s commitment to take all actions necessary to ensure the protection of US national security, the president issued an order prohibiting the acquisition,” Mnuchin said, according to the Oregonian.’

Read more: Trump blocks $1.3billion sale of US tech company to China for ‘national security’ reasons