---
kind: "section"
citation: "31 C.F.R. § 800.211"
title: "31"
number: "800.211"
heading: "Covered investment."
url: "https://uscodex.org/cfr/31/800.211"
---

# §800.211. Covered investment.


The term covered investment means an investment, direct or indirect, by a foreign person other than an excepted investor, in an unaffiliated TID U.S. business that is proposed or pending on or after February 13, 2020, and that:

- (a) Is not a covered control transaction; and
- (b) **Affords the foreign person—**
  - (1) Access to any material nonpublic technical information in the possession of the TID U.S. business;
  - (2) Membership or observer rights on, or the right to nominate an individual to a position on, the board of directors or equivalent governing body of the TID U.S. business; or
  - (3) Any involvement, other than through voting of shares, in substantive decisionmaking of the TID U.S. business regarding:
    - (i) The use, development, acquisition, safekeeping, or release of sensitive personal data of U.S. citizens maintained or collected by the TID U.S. business;
    - (ii) The use, development, acquisition, or release of critical technologies; or
    - (iii) **The management, operation, manufacture, or supply of covered investment critical infrastructure.**
- (c) Notwithstanding paragraphs [(a)](#a) and [(b)](#b) of this section, no investment involving an air carrier, as defined in [49 U.S.C. 40102(a)(2)](/usc/49/40102.md?p=a-2), that holds a certificate issued under [49 U.S.C. 41102](/usc/49/41102.md) shall be a covered investment.
- (d) **Example—** Corporation A, a foreign person that is not an excepted investor, makes a non-controlling investment in Corporation B, a U.S. business, that affords Corporation A the right to nominate one of the directors on Corporation B's board of directors. Corporation B, through its wholly-owned subsidiary Corporation X, designs and manufactures a critical technology. Corporation A's investment in Corporation B is a covered investment.

## Notes

### Authority

Authority: 50 U.S.C. 4565; E.O. 11858, as amended, 73 FR 4677.

### Source

Source: 85 FR 3124, Jan. 17, 2020, unless otherwise noted.