U.S. President Donald Trump has moved to block a planned acquisition by photonics firm HieFo Corp, citing national security risks linked to China.
In an executive order released Friday by the White House, Trump prohibited HieFo’s roughly $3 million purchase of assets from New Jersey-based aerospace and defence company Emcore. The order stated that HieFo is “controlled by a citizen of the People’s Republic of China” and that the transaction raised concerns it could result in actions harmful to U.S. national security.
While the order did not identify the individual involved or provide detailed reasoning, it directed HieFo to fully unwind the transaction. The company was instructed to divest all interests and rights in the Emcore assets, wherever located, within 180 days.
The decision followed a review by the Committee on Foreign Investment in the United States (CFIUS), which identified national security risks associated with the deal, according to a statement from the Treasury Department. Officials did not elaborate on the specific nature of those risks.
Neither HieFo nor Emcore immediately responded to requests for comment, and neither company had issued a public statement as of late Friday.
At the time of the transaction, Emcore was publicly traded before later being taken private. The company previously disclosed that HieFo acquired its chip business and indium-phosphide wafer fabrication operations for approximately $2.92 million.
HieFo has said it was co-founded by Genzao Zhang, a former vice president of engineering at Emcore, and Harry Moore, who is listed on LinkedIn as a former senior sales director at the company.
The move underscores heightened scrutiny by U.S. authorities of transactions involving sensitive technologies and foreign ownership, particularly those with suspected links to China. It also reflects the administration’s continued willingness to intervene in deals deemed to pose potential risks to national security.
