The Exon–Florio Amendment 50 U.S.C. app 2170 is a law that was enacted by the United States Congress

United States Congress

The United States Congress is the bicameral legislature of the federal government of the United States, consisting of the Senate and the House of Representatives. The Congress meets in the United States Capitol in Washington, D.C....

 in 1988 to review foreign investment within the United States. The amendment

Amend (motion)

-Explanation and Use:-Main Motions:Any main motion and any motion to amend may be amended. However, a motion to amend a motion to amend may not be amended, due to the overly complex parliamentary situation that would frequently result.-Secondary Motions:...

 was passed into law under the Omnibus Trade and Competitiveness Act of 1988 and amended Section 721 of Defense Production Act of 1950. All foreign investments that might affect national security

National security

National security is the requirement to maintain the survival of the state through the use of economic, diplomacy, power projection and political power. The concept developed mostly in the United States of America after World War II...

 may be reviewed and if deemed to pose a threat to security, the President of the United States

President of the United States

The President of the United States of America is the head of state and head of government of the United States. The president leads the executive branch of the federal government and is the commander-in-chief of the United States Armed Forces....

, may block the investment. According to the amendment, the president may block the investment when "there is credible evidence that leads the President to believe that the foreign interest exercising control might take action that threatens to impair the national security." President Reagan

Ronald Reagan

Ronald Wilson Reagan was the 40th President of the United States , the 33rd Governor of California and, prior to that, a radio, film and television actor....

  delegated the review process to the Committee on Foreign Investment in the United States

Committee on Foreign Investment in the United States

The Committee on Foreign Investment in the United States is an inter-agency committee of the United States Government that reviews the national security implications of foreign investments in U.S. companies or operations. Chaired by the Secretary of the Treasury, CFIUS includes representatives...

.

The amendment was sponsored by Senator J. James Exon

J. James Exon

John James "Jim" Exon was an American Democratic politician. He served as the 33rd Governor of Nebraska from 1971 to 1979, and as a U.S. Senator from Nebraska from 1979 to 1997. Exon was a Nebraska Democrat who never lost an election, and the only Democrat to hold his Nebraska's Senate Class 2 seat...

 and Representative James J. Florio. The amendment was proposed over concerns of foreign acquisitions by Japan

Japan

Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...

ese businesses
.

See also

• Committee on Foreign Investment in the United States‎
• Omnibus Foreign Trade and Competitiveness Act
  Omnibus Foreign Trade and Competitiveness Act
  The Omnibus Foreign Trade and Competitiveness Act of 1988 is an act passed by the United States Congress and signed into law by President Ronald Reagan.-History:...
  
  
• Foreign Investment and National Security Act of 2007
  Foreign Investment and National Security Act of 2007
  Foreign Investment and National Security Act of 2007 is an Act of the United States Congress.The Act addresses investments made by foreign entities in the United States...