U.S.-China Relations (May 5, 2025)

Chinese Sovereign Wealth Funds Reduce U.S. Investments

Amid escalating trade tensions, China’s sovereign wealth funds are scaling back investments in U.S. private equity and other assets. The China Investment Corporation (CIC) plans to divest up to $1 billion from U.S. private equity holdings, reflecting Beijing’s strategy to minimize economic exposure to the United States.