Prohibition on purchase of United States defense contractors by entities controlled by foreign governments
In general
No entity controlled by a foreign government may merge with, acquire, or take over a company engaged in interstate commerce in the United States that—
is performing a Department of Defense contract, or a Department of Energy contract under a national security program, that cannot be performed satisfactorily unless that company is given access to information in a proscribed category of information; or
during the previous fiscal year, was awarded—
Department of Defense prime contracts in an aggregate amount in excess of $500,000,000; or
Department of Energy prime contracts under national security programs in an aggregate amount in excess of $500,000,000.
Inapplicability to certain cases
Definitions
In this section:
The term “entity controlled by a foreign government” includes—
any domestic or foreign organization or corporation that is effectively owned or controlled by a foreign government; and
any individual acting on behalf of a foreign government,
as determined by the President.
The term “proscribed category of information” means a category of information that—
with respect to Department of Defense contracts—
includes special access information;
is determined by the Secretary of Defense to include information the disclosure of which to an entity controlled by a foreign government is not in the national security interests of the United States; and
is defined in regulations prescribed by the Secretary of Defense for the purposes of this section; and
with respect to Department of Energy contracts—
is determined by the Secretary of Energy to include information described in subparagraph (A)(ii); and
is defined in regulations prescribed by the Secretary of Energy for the purposes of this section.