Q3 2025 Regulatory Roundup: Key U.S. Legal Developments for Turkish Businesses

The third quarter of 2025 continued a period of active regulatory development in the United States, with significant updates across foreign investment review, export controls, immigration policy, antitrust enforcement, and corporate compliance. For Turkish companies with U.S. operations, investments, or partnerships, staying current on these developments is essential for managing risk and identifying opportunity.

This roundup summarizes the most important Q3 2025 developments and their practical implications for Turkish-American business.

CFIUS continued its aggressive posture toward foreign investment in U.S. technology companies in Q3 2025. The Committee issued updated guidance clarifying that artificial intelligence, advanced semiconductor design, and quantum computing applications are treated as critical technologies subject to mandatory filing requirements when a foreign investor acquires a substantial interest.

Implication for Turkish companies: Turkish technology investors and acquirers should conduct CFIUS risk assessments before approaching U.S. AI, semiconductor, or quantum computing targets. Even minority investments in these sectors may trigger mandatory filing obligations.

CFIUS increased enforcement activity related to real estate transactions near U.S. military installations. Several transactions were unwound in Q3 2025 following post-closing CFIUS review — a reminder that parties cannot avoid CFIUS jurisdiction simply by not filing.

Implication for Turkish companies: Turkish real estate investors should screen proposed acquisitions against the list of sensitive military and government locations before signing purchase agreements.

CFIUS mitigation agreements in Q3 2025 increasingly included data security requirements — mandating that U.S. targets implement specific cybersecurity frameworks (NIST, SOC 2) and restricting foreign parent access to U.S. person data. Turkish acquirers of U.S. businesses that handle sensitive personal data should budget for compliance infrastructure as part of deal costs.

The Bureau of Industry and Security (BIS) added several dozen entities to the Entity List in Q3 2025, including companies in China, Russia, and several Middle Eastern countries. The additions focused on entities involved in semiconductor procurement, drone technology, and dual-use chemical precursors.

Implication for Turkish companies: Turkish companies that supply or distribute U.S.-origin technology should conduct enhanced due diligence on their customer base. Selling to an Entity List company — even unknowingly — can result in export control violations.

BIS finalized new controls on advanced AI model weights and synthetic biology tools in Q3 2025, adding these categories to the Commerce Control List. Companies that develop or license these technologies must now classify them under the new ECCNs and determine whether exports to specific destinations require licenses.

Implication for Turkish companies: Turkish technology companies receiving U.S.-origin AI or biotech tools should verify the ECCN classification of these items and confirm that their use does not require a U.S. export license.

BIS announced enhanced incentives for voluntary self-disclosure of export control violations in Q3 2025, including a formal policy of reduced penalties for companies that self-disclose, cooperate fully, and implement remediation measures. The policy is designed to encourage compliance rather than concealment.

Implication for Turkish companies: Turkish-American companies that discover past export control violations should consult export counsel about the benefits of voluntary self-disclosure before BIS initiates an investigation.

The USCIS H-1B modernization rule, finalized in late 2024, continued its implementation in Q3 2025. Key changes now in effect:

• Expanded definition of "specialty occupation" providing more flexibility for employers
• Strengthened site visit program — USCIS officers are conducting more frequent and unannounced site visits to verify H-1B compliance
• New requirements for third-party placement arrangements (consulting firms placing H-1B workers at client sites)

Implication for Turkish companies: Turkish companies sponsoring H-1B workers should ensure their internal compliance programs are current, including maintaining accurate records of work locations and job duties.

USCIS O-1A approvals remained strong in Q3 2025, with approval rates above 90% for well-documented petitions. However, USCIS issued increased Requests for Evidence (RFEs) for O-1A petitions relying primarily on salary evidence — requiring additional documentation of other extraordinary ability criteria.

Implication for Turkish professionals: O-1A petitions should be built on multiple criteria, not salary alone. Published articles, judging roles, and organizational leadership are increasingly important to a strong O-1A record.

The E-2 treaty investor visa remained an important pathway for Turkish entrepreneurs in Q3 2025. Turkey maintains an E-2 treaty with the United States, allowing Turkish nationals to obtain E-2 status by making a substantial investment in a U.S. business. USCIS continued to process E-2 applications within standard timelines (3–5 months at consular posts).

Implication for Turkish entrepreneurs: The E-2 remains one of the most accessible U.S. visa options for Turkish business owners. Turkish nationals planning U.S. business investments should evaluate E-2 eligibility as part of their immigration planning.

The Federal Trade Commission (FTC) adjusted Hart-Scott-Rodino (HSR) premerger notification thresholds effective Q3 2025. The new thresholds:

• Size of transaction test: $119.5 million (up from $119.5 million — unchanged in 2025)
• Size of person test: $23.9 million / $239 million

Implication for Turkish acquirers: Turkish companies pursuing U.S. acquisitions should confirm current HSR thresholds with counsel before signing. Transactions above the threshold require premerger notification and a mandatory waiting period before closing.

The FTC and DOJ continued to apply the 2023 Merger Guidelines aggressively in Q3 2025, challenging transactions in technology, healthcare, and financial services. The agencies' focus on vertical mergers and potential competition theories continued to create uncertainty for acquirers in these sectors.

Implication for Turkish acquirers: Turkish companies pursuing U.S. acquisitions in technology, healthcare, or financial services should conduct antitrust risk assessments early in the deal process and budget for potential extended regulatory review.

FinCEN's enforcement of the Corporate Transparency Act (CTA) beneficial ownership reporting requirements intensified in Q3 2025. Key developments:

• FinCEN issued guidance clarifying that foreign-owned U.S. entities (including subsidiaries of Turkish companies) are generally reporting companies subject to BOI filing requirements
• Penalties for willful non-compliance: up to $591 per day in civil penalties and criminal penalties of up to $10,000 and two years imprisonment

Implication for Turkish companies: Turkish companies with U.S. subsidiaries, joint ventures, or other U.S. entities should confirm that all reporting companies have filed their beneficial ownership information with FinCEN. New entities must file within 30 days of formation.

The SEC's cybersecurity disclosure rules, requiring public companies to disclose material cybersecurity incidents within four business days and to provide annual disclosures about cybersecurity risk management, continued to generate enforcement activity in Q3 2025. Several companies received SEC comment letters questioning the adequacy of their cybersecurity risk disclosures.

Implication for Turkish companies listed on U.S. exchanges: Turkish companies with U.S.-listed securities must maintain robust cybersecurity incident response programs and ensure their SEC disclosures accurately reflect their cybersecurity risk management practices.

1. CFIUS: Technology transactions face heightened scrutiny; real estate enforcement is increasing; data security mitigation requirements are standard.

2. Export controls: New AI and biotech controls require reclassification; Entity List additions require enhanced customer due diligence; voluntary self-disclosure incentives are meaningful.

3. Immigration: H-1B compliance programs must be current; O-1A petitions need multi-criteria documentation; E-2 remains accessible for Turkish entrepreneurs.

4. Antitrust: Vertical merger scrutiny continues; technology and healthcare deals face extended review timelines.

5. Corporate compliance: CTA enforcement is real — Turkish-owned U.S. entities must be BOI-compliant; SEC cybersecurity disclosures are under scrutiny.

Q4 2025 is expected to bring continued regulatory activity in several areas:

• CFIUS rulemaking on outbound investment restrictions (covering U.S. investments in foreign technology sectors)
• BIS finalization of additional emerging technology controls
• USCIS processing improvements under the H-1B modernization rule
• FTC and DOJ continued active merger enforcement

ULF New York will continue to monitor these developments and provide updates as they affect Turkish-American business relationships.

This article is for informational purposes only and does not constitute legal advice. Regulatory developments are subject to change; consult qualified U.S. counsel for advice specific to your situation.