TBRAC launches 10-dimension risk system for U.S. market entry

By AI, Created 8:41 PM UTC, May 28, 2026, /AGP/ – TBRAC has launched a structured assessment tool to help foreign companies spot U.S. market-entry risks before they commit to sites, contracts or hires. The system is aimed at both overseas companies and local governments competing for investment, with a focus on regulatory, supply-chain, data, governance and geopolitical exposure.

Why it matters: - Foreign companies often lose time and money on problems outside the product itself, including licensing, banking, customs, ownership disclosure and incentive eligibility. - TBRAC is designed to surface those issues before a company commits to a U.S. site, signs contracts or hires staff. - The tool is also aimed at U.S. cities, counties and states that want a more structured way to evaluate inbound investment.

What happened: - TBRAC, short for Trans-Border Risk Assessment and Certification, released a new U.S. market-entry assessment system this month. - The system organizes risk into 10 dimensions and about 100 standardized criteria. - Around 20 companies have used or started using TBRAC so far. - Those users include companies in manufacturing, food and consumer goods, supply-chain services, brand expansion and professional services. - Most users are foreign companies entering the U.S. from overseas. - A meaningful share are Chinese companies. - The system was built by Yanyu Zhang, an entrepreneur and author based in the San Francisco Bay Area. - Zhang previously founded Accounting Island, a finance and business training platform in China. - Zhang published the methodology behind TBRAC in a 2025 book, Trans-Border Risk Assessment and Certification for Chinese Companies Exploring U.S. Market Entry.

The details: - TBRAC covers regulatory scrutiny, political and geopolitical exposure, intellectual property, data security and privacy, reputational risk, market access, supply-chain vulnerability, financial soundness, national security and technology transfer, and corporate governance and transparency. - Each dimension breaks into standardized questions scored on a 0-10 scale. - The scores roll up into a composite risk index out of 100. - The system requires evidence behind each score, including regulatory filings, entity-list hits, ownership documents and supplier records. - The output is a scored profile and a working list of issues to address, not an entry-or-no-entry verdict. - A manufacturer considering a U.S. facility used the system before the next planning stage and flagged gaps in supplier traceability and ownership documentation. - Those issues were addressed before a public site announcement made them visible to outside parties. - The company says the fix at that stage cost a fraction of what it would have cost six months later. - The system is also meant to help local economic development teams evaluate foreign investment claims, ownership structures and sanctions exposure before incentive packages move forward. - TBRAC describes that use case as a pre-entry screen rather than a replacement for formal due diligence.

Between the lines: - TBRAC reflects a broader view that cross-border risk now spans legal, financial, political and operational issues at the same time. - Zhang argues the biggest mistakes happen when companies ask the right questions too late. - The system treats different foreign investors as different risk problems, rather than grouping them under one label. - That matters especially for Chinese companies, where the U.S. regulatory and political environment has become harder to read. - The framework also responds to a shift in foreign investment toward manufacturing footprints, supply-chain commitments and long-term operating presence. - That shift has raised the stakes on indirect ownership, component sourcing and data flows. - TBRAC is not a substitute for legal advice, bank diligence or CFIUS review. - The gap it is trying to fill is the period before formal diligence, when problems are still cheaper to fix.

What’s next: - Zhang plans to expand the criteria, refine report formats and build case libraries for life sciences, advanced materials and some digital services segments. - TBRAC also plans to release self-assessment checklists, white papers and shorter guides for companies and local officials. - Banks, insurers, law firms and economic development agencies are potential future users of the framework. - The system’s broader role will depend on how it performs over the next year of cases.

The bottom line: - TBRAC is trying to move U.S. market-entry risk management upstream, before companies make expensive commitments and before avoidable issues become public problems.