American government officials at all levels are flocking to Beijing and Shanghai in hopes of recruiting Chinese investors who are eager to expand their businesses, or in some cases safeguard their wealth. While China owns more than $1.2 trillion in US Treasury securities, it has only $28 billion in direct investments in American companies and real estate, according to estimates by the Rhodium Group, a private research company. The Obama administration is working hard to smooth the way for China's dollars. In July, Chinese and US leaders meeting in Washington agreed to restart negotiations toward a bilateral investment treaty that would accelerate the flow of investment from China to the US in exchange for increased American access to China. The Obama administration is right to encourage more Chinese investment in the US -- but it would do well to be careful what it wishes for.