{"bills":[{"photos":{"featured":"https://assets.causes.com/bill/photo/hr704-116/featured_fair-trade-with-china-enforcement-act-1555968010.jpg","featured_large":"https://assets.causes.com/bill/photo/hr704-116/featured_large_fair-trade-with-china-enforcement-act-1555968010.jpg","shareable":"https://n.causes.com/share-images/bills/hr704-116.png"},"introduced_on":"2019-01-22","title_override":"Should the U.S. Punish Illegal and Malicious Economic Actions by China?","summary_override":"

This bill — the Fair Trade with China Enforcement Act — would take a number of actions to safeguard U.S. assets from Chinese influence and possession and blunt the impact of Chinese economic aggression in the form of intellectual property theft and malign investment. Among its provisions, the bill would impose taxes on certain economic activity involving China and restrict the use of certain Chinese corporations, namely Huawei and ZTE, as federal telecommunications contractors. A breakdown of its various provisions can be found below.

Specifically, this bill would:

Prepare duties on, and impose Chinese investor shareholding caps on US companies producing goods targeted by the Made in China 2025 plan;
Prohibit the export of national security sensitive technology and intellectual property, including quantum computing, high-capacity computing, artificial intelligence, biotechnology, robotics, semiconductor, and lithium battery manufacturing, to China;
Impose a shareholder cap on Chinese investors in U.S. corporations;
Impose taxes on multinational corporations’ income earned in China at a rate similar to the estimated lost value of stolen IP and technology;
Prohibit the U.S. federal government, its subsidiaries, and its contractors from purchasing telecommunications equipment or services from Huawei and ZTE, two Chinese state-owned enterprises that have been accused of seeking to infiltrate and compromise U.S. networks.

This bill would also make it U.S. policy to reduce the import of finished goods from China that are covered by the Made in China 2025 plan and encourage its allies to also reduce their imports of the same goods. It’d also make Made in China 2025 products included in the definition of a countervailable subsidy.

This bill would also update the U.S.-China income tax treaty signed in the 1980s to tax China on its investments in the U.S., including its holdings of the U.S. national debt.

Finally, this bill would clarify the Foreign Sovereign Immunity Act for U.S. courts and expand the scope of foreign government-backed businesses that can be held liable.

","official_title":"To safeguard certain technology and intellectual property in the United States from export to or influence by the People's Republic of China and to protect United States industry from unfair competition by the People's Republic of China, and for other purposes.","short_title":"Fair Trade with China Enforcement Act","popular_title":null,"short_summary":"","summarized":true,"cost":null,"cost_commentary":"A CBO cost estimate is unavailable. ","impact":"U.S. federal government technology purchases; U.S. companies with national security sensitive technology and intellectual property; China; Chinese investors in the U.S.; multinational corporations in China; Huawei; ZTE; the U.S.-China income tax treaty; and the Foreign Sovereign Immunity Act.","argument_for":"Anti-competitive and illegal behavior is part of the Chinese government’s strategy for helping state-owned enterprises and domestic companies gain dominance in key industries. 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Should the U.S. Punish Illegal and Malicious Economic Actions by China?