China Blocks Meta's Acquisition of AI Startup Manus

China's National Development and Reform Commission cited relevant regulations to issue a foreign investment prohibition decision and demanded that Meta withdraw its acquisition of Manus.

Meta announced in December 2025 that it would acquire Manus for $2 billion, but the deal has been under simultaneous review in both the US and China. China's Ministry of Commerce stated in January that it would investigate whether the deal complies with export control regulations and rules on technology import/export and overseas investment.

Manus is a startup that was founded in China before relocating to Singapore, and it develops general-purpose AI agents.

• Market research
• Coding
• Data analysis

The company stated that it surpassed $100 million in annual recurring revenue just 8 months after launching its first product, and in April 2025 it raised $75 million in a round led by Benchmark.

This intervention is being read as a signal of China's growing wariness toward AI founders relocating abroad to escape regulatory oversight. Meta stated that the deal complied with all applicable laws, and the APEC Senior Officials' Meeting side said it hopes the parties will respond in a spirit of mutual benefit.