WASHINGTON - The Biden administration is considering moves that will restrict US investments in Chinese technology companies, amid growing tensions between the United States and China, according to people familiar with the matter.

The investment curbs taking shape may come as an executive order to be signed by President Joe Biden in the coming months.

A separate action against TikTok, the hugely popular video-sharing app, is a possibility, but no action is imminent.

The Commerce Department may place further restrictions on chips used for artificial intelligence computing.

At the same time, the White House is in discussions with Congress on laws requiring companies to disclose beforehand possible investments in certain Chinese industries.

Among the options being discussed is the establishment of a system that will give the government the authority to block investments outright, one of the sources said.

He said the executive order was part of a broader strategy, pointing out that the US recently curbed sales of semiconductors to China and Russia.

Last month, Mr Biden signed into law a broad competition measure that included about US$52 billion (S$73 billion) to bolster domestic semiconductor research and development.

US companies are under increasing government scrutiny over what they sell to China, whose electronics factories and consumers make it the biggest buyer of chips.

Washington has been tightening restrictions on sales to China, arguing that it represents a security risk.

Nvidia tumbled Thursday after the chipmaker said new rules on the export of some artificial intelligence chips could affect hundreds of millions of dollars in revenue.

The US has up to now pursued a patchwork policy that has stopped short of flat-out locking the Chinese out of the semiconductor industry. It is concentrated on singling out individual companies, such as Huawei Technologies and Semiconductor Manufacturing International, that it has accused of being a threat to national security.

Recent steps have indicated that the administration is leaning toward a more hawkish stance of banning Chinese access to whole swaths of technology.

The Biden administration is also scrutinising TikTok, paying close heed to whether the Chinese government has access to American customer data.

The company, whose parent is Beijing-based Bytedance, has told lawmakers it has taken steps to protect US user data, including through a contract with Oracle, following then President Donald Trump's failed attempt to ban the app from the US. BLOOMBERG