WASHINGTON: US Senate and House negotiators reached agreement on Monday ona $716 billion defence policy bill, which includes provisions on tighteningforeign investment scrutiny and telecommunications security in addition toauthorising military funding.

The deal on the fiscal-year 2019 National Defence Authorisation Act wasannounced by the leaders of the Senate and House of Representatives ArmedServices committees. It must still be passed by the full House and Senateand signed by President Donald Trump to become law.

The legislation would prohibit the US government from using technology fromChinese telecommunications companies ZTE Corp or Huawei Technologies Co Ltdbecause of national security concerns.

Last week, lawmakers cut from the bill measures that would have reinstatedsanctions on ZTE, abandoning an attempt to punish the company for illegallyshipping US products to Iran and North Korea.

The bill also would strengthen the Committee on Foreign Investment in theUnited States, which assesses deals to ensure they do not compromisenational security. It would expand the scope of transactions reviewed bythe interagency panel to address security concerns.

The legislation would authorise spending $7.6 billion for 77 F-35 JointStrike Fighter jets, made by Lockheed Martin Corp.

But it would prohibit delivery of the advanced aircraft to fellowNATO-member Turkey. US officials have warned Ankara that the Russian systemcannot be integrated into the NATO air and missile defence system.