; (ii) the People’s Republic of China, including the Hong Kong Special Administrative Region and the Macau Special Administrative Region; (iii) the Russian Federation; and (iv) the Islamic Republic of Iran; and (B) includes any other country the President determines necessary to ensure a country specified in clause (i), (ii), (iii), or (iv) of subparagraph (A) is unable to circumvent the provisions of this Act and the regulations issued pursuant to this Act. (3) Covered activity (A) In general Subject to such regulations as may be prescribed in accordance with section 7, and except as provided in subparagraph (B), the term covered activity means any activity engaged in by a United States person that involves— (i) an acquisition by such United States person of an equity interest or contingent equity interest, or monetary capital contribution, in a covered foreign entity, directly or indirectly, by contractual commitment or otherwise, with the goal of generating income or gain; (ii) an arrangement for an interest held by such United States person in the short- or long-term debt obligations of a covered foreign entity that includes governance rights that are characteristic of an equity investment, management, or other important rights; (iii) the establishment of a wholly owned subsidiary in a country of concern, such as a greenfield investment, for the purpose of production, design, testing, manufacturing, fabrication, or development related to one or more covered sectors; (iv) the establishment by such United States person of a joint venture in a country of concern or with a covered foreign entity for the purpose of production, design, testing, manufacturing, fabrication, or research, or other contractual or other commitments involving a covered foreign entity to jointly research and develop new innovation, including through the transfer of capital or intellectual property or other business proprietary information