U.S. state laws take aim at pension investment in China

NEW YORK -- U.S. states are forcing public pension funds to divest from Chinese-owned companies, citing national security risks amid rising tensions between the world's two largest economies.

Florida Gov. Ron DeSantis signed a law this month that requires the state investment board to cease investing any of its $250 billion of assets in any entities with more than 50% ownership by the Chinese government, Chinese Communist Party, or Chinese military. It also requires the divestment of any current direct holdings in China "to ensure foreign adversaries like China have no foothold in our state," DeSantis said on X, after signing the bill into law.