The Trump Administration is also cracking down on foreign investment in the United States. President Trump hosted what he called a "celebration" for the new restrictions. CGTN's White House Correspondent Jessica Stone reports.

As Chinese and American negotiators met at the U.S. Treasury Department for the second day of talks, U.S. President Donald Trump met with the authors of a new law to restrict foreign investments. The new rules give the U.S. government more leeway to block foreign takeovers of U.S. companies for national security reasons. Under the Foreign Investment Risk Review Modernization Act, or FIRRMA, a committee with close ties to the White House has expanded powers to limit foreign investments in real estate and in critical technologies and critical infrastructure-as well as big data.

GINGER FAULK BAKER BOTTS LAW FIRM "What FIRRMA has done is to expand the scope of transactions which are subject to presidential review, which could be subject to blocking, which could be subject to mitigation measures, or unwinding."

While Washington can use the enhanced restrictions to block business deals, involving any foreign company, Trump has made no secret that he intends to use the committee's enhanced authority to limit Chinese investments.

DONALD TRUMP US PRESIDENT "Intellectual property and all sorts of things are being stolen from us by other countries. It's going to be very hard for them to do that. We put in a lot of safeguards."

JESSICA STONE WHITE HOUSE "A senior White House official described Washington's position in the talks with Beijing this way - 'If you want progress - open your markets.' The Chinese Commerce Ministry has also said in the past that Washington should treat Chinese investors objectively that national security concerns should not become an obstacle to investment in the US, Jessica Stone, CGTN, at the White House."