US Treasury issues first outbound China investment fine
The US Treasury has handed down its first penalty under the Outbound Investment Security Programme: a $200,000 fine against Amidi, LLC for failing to notify a $92,478 investment in a Chinese robotics AI firm.
The US Treasury has levied its first civil penalty under the Outbound Investment Security Programme, fining Amidi, LLC US$200,000 for failing to notify Washington of an investment in a Chinese robotics AI company.
The Treasury said on Wednesday that Amidi — the parent of Plug and Play Tech Centre — did not submit a required notification after its Chinese fund subsidiary invested about US$92,478 in Shanghai Qiongche Intelligent Technology, known as Noematrix, on 19 April 2025. The penalty was imposed in July and announced on Wednesday, and it exceeded twice the size of the investment.
The case is the first concrete enforcement example under the programme, which took effect on 2 January 2025 and governs US investments in Chinese artificial intelligence, semiconductors and quantum computing, including some deals made through overseas entities controlled by US persons. The programme prohibits certain transactions and requires investors to notify the Treasury of others.
Noematrix develops “embodied AI” — models and software that let robots understand their surroundings and carry out physical tasks. The Treasury said it discovered the transaction through routine compliance and market monitoring. It did not describe the investment as prohibited, nor did it allege any wrongdoing by Noematrix.
Treasury Secretary Scott Bessent said the action underscored the department’s commitment to protecting US national security through investment security measures.
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