Source: Global Times

China's Office of the Working Mechanism for Security Review of Foreign Investment under the NDRC announced a decision to prohibit the foreign acquisition of the Manus project and required the parties involved to revoke the transaction, invoking applicable laws and regulations. The statement frames the action as part of a unified legal and procedural framework intended to safeguard economic security and maintain market order rather than targeting any specific country or company. The report cites that Meta announced an acquisition of Manus in December, and that Manus — formerly part of Beijing-based Butterfly Effect Technology Ltd Co — launched an AI agent earlier and claimed performance advantages over OpenAI's DeepResearch, according to Reuters.

The coverage recounts developments in Manus' recent history: a March 2025 claim of launching a general-purpose AI agent, a July relocation of its headquarters to Singapore with layoffs of China-based staff and cessation of mainland services (reported by Bloomberg), and a prior $75 million financing from US venture firm Benchmark that prompted a US investigation (per CNBC and Yahoo Finance). The article references China's Catalogue of Technologies Prohibited and Restricted for Export and the revised Foreign Trade Law as statutory bases requiring security review and licences for cross-border transfers and investments. Industry analysts Ma Jihua and Li Chang'an are quoted characterizing the move as part of efforts to refine and institutionalize rules for cross-border activity in key technology areas, and MOFCOM spokesperson He Yadong is cited emphasizing that cross-border cooperation must comply with Chinese laws and required procedures.