3 min readUpdated: Apr 9, 2026 06:09 PM IST
A lobbying firm led by an associate of Donald Trump Jr. helped a Chinese pharmaceutical company secure access to senior US officials as it fought off a national security challenge from an American startup, news agency Reuters reported, citing the documents reviewed by it.
The US Committee on Foreign Investment in the United States (CFIUS) ultimately rejected a petition by Minnesota-based FastWave to review and potentially force the divestment of a Chinese investor, Grand Pharmaceutical Group. The decision, which has not been previously reported, marks a rare outcome in Washington favouring a Chinese firm in a sensitive investment dispute.
Lobbying disclosures show that Checkmate, a firm led by Ches McDowell, who has personal ties to Trump Jr. was hired by Grand Pharma in December. The firm arranged a January meeting between the company’s lawyer and senior Treasury officials, including CFIUS head Chris Pilkerton, according to sources familiar with the matter, Reuters reported. During the meeting, Grand Pharma’s counsel argued the issue was a commercial disagreement rather than a national security threat.
Weeks later, CFIUS dismissed FastWave’s filing, citing material misstatements in the company’s submissions rather than addressing national security concerns. The rejections effectively allowed the Chinese firm to retain its 40 per cent stake in the US startup.
FastWave, which develops laser-based medical technology, had warned that its Chinese investor could access sensitive intellectual property with potential military applications. The company also alleged that Grand Pharma was obstructing its fundraising efforts, pushing it toward financial distress.
The startup said it was unable to secure meetings with senior CFIUS officials during the review process, in contrast to Grand Pharma’s access. Fastwave now faces possible bankruptcy and says it lacks the resources to refile its case.
Experts and lawmakers expressed concern that the case highlights how foreign firms may leverage politically connected lobbyists to influence US decision-making. “If you want to engage with those in power, hiring well-connected lobbyists is standard practice,” said political scientist Tim LaPira.
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Critics argue the episode raises broader questions about transparency and fairness in national security reviews. Michael Sobolik of the Hudson Institute called the outcome troubling, saying it suggests a foreign company could sway US policy in a sensitive case.
The White House rejected such claims, with spokesperson Kush Desai stating that CFIUS continues to operate with “robust and vigilant” safeguards and that any suggestion of political interference is “categorically false.”
Grand Pharma has maintained that the dispute with FastWave is purely commercial. Its legal representative described the review process as “fact-based” and denied any possible influence.
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