II 

118TH CONGRESS 

2D SESSION S. 4789 

To require the imposition of sanctions with respect to the People’s Republic 

of China if the People’s Liberation Army initiates a military invasion 

of Taiwan. 

IN THE SENATE OF THE UNITED STATES 

JULY 25, 2024 

Mr. SULLIVAN (for himself and Ms. DUCKWORTH) introduced the following 

bill; which was read twice and referred to the Committee on Banking, 

Housing, and Urban Affairs 

A BILL 

To require the imposition of sanctions with respect to the 

People’s Republic of China if the People’s Liberation 

Army initiates a military invasion of Taiwan. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘Sanctions Targeting Aggressors of Neighboring Democ6 racies with Taiwan Act of 2024’’ or the ‘‘STAND with 

7 Taiwan Act of 2024’’. 

8 (b) TABLE OF CONTENTS.—The table of contents for 

9 this Act is as follows: 


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Sec. 1. Short title; table of contents. 

Sec. 2. Findings. 

Sec. 3. Sense of Congress. 

Sec. 4. Statement of policy. 

Sec. 5. Definitions. 

Sec. 6. Imposition of sanctions with respect to officials of the Government of 

the People’s Republic of China and members of the Chinese 

Communist Party. 

Sec. 7. Imposition of sanctions with respect to financial institutions affiliated 

with the Government of the People’s Republic of China. 

Sec. 8. Imposition of sanctions with respect to entities owned by or affiliated 

with the Government of the People’s Republic of China or the 

Chinese Communist Party. 

Sec. 9. Prohibition on transfers of funds involving the People’s Republic of 

China. 

Sec. 10. Prohibition on listing or trading of Chinese entities on United States 

securities exchanges. 

Sec. 11. Prohibition on investments by United States financial institutions that 

benefit the Government of the People’s Republic of China or 

the Chinese Communist Party. 

Sec. 12. Prohibition on energy exports to, and investments in energy sector of, 

the People’s Republic of China. 

Sec. 13. Suspension of normal trade relations with the People’s Republic of 

China. 

Sec. 14. Exceptions; waiver. 

Sec. 15. Implementation; penalties. 

1 SEC. 2. FINDINGS. 

2 Congress makes the following findings: 

3 (1) Taiwan is a free and prosperous democracy 

4 of nearly 24,000,000 people, an important contrib5 utor to peace and stability around the world, and 

6 continues to embody and promote democratic values, 

7 freedom, and human rights in Asia. 

8 (2) The policy of the United States toward Tai9 wan is guided by the Taiwan Relations Act (22 

10 U.S.C. 3301 et seq.), the United States-People’s Re11 public of China joint communique ́s concluded in 

12 1972, 1978, and 1982, and the Six Assurances that 


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1 President Ronald Reagan communicated to Taiwan 

2 in 1982. 

3 (3) Under section 2 of the Taiwan Relations 

4 Act (22 U.S.C. 3301), it is the policy of the United 

5 States— 

6 (A) ‘‘to preserve and promote extensive, 

7 close, and friendly commercial, cultural, and 

8 other relations between the people of the United 

9 States and the people on Taiwan, as well as the 

10 people on the China mainland and all other peo11 ples of the Western Pacific area’’; 

12 (B) ‘‘to declare that peace and stability in 

13 the area are in the political, security, and eco14 nomic interests of the United States, and are 

15 matters of international concern’’; 

16 (C) ‘‘to make clear that the United States 

17 decision to establish diplomatic relations with 

18 the People’s Republic of China rests upon the 

19 expectation that the future of Taiwan will be 

20 determined by peaceful means’’; 

21 (D) ‘‘to consider any effort to determine 

22 the future of Taiwan by other than peaceful 

23 means, including by boycotts or embargoes, a 

24 threat to the peace and security of the Western 


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1 Pacific area and of grave concern to the United 

2 States’’; 

3 (E) ‘‘to provide Taiwan with arms of a de4 fensive character’’; and 

5 (F) ‘‘to maintain the capacity of the 

6 United States to resist any resort to force or 

7 other forms of coercion that would jeopardize 

8 the security, or the social or economic system, 

9 of the people on Taiwan’’. 

10 (4) For decades and increasingly since the elec11 tion of President Tsai Ing-wen as President of Tai12 wan in 2016, the Chinese Communist Party has em13 ployed a variety of coercive military and nonmilitary 

14 tactics short of armed conflict in its efforts to exert 

15 existential pressure on Taiwan, including through 

16 diplomatic isolation, restricting tourism, 

17 cyberattacks, spreading disinformation, and control18 ling the ability of Taiwan to purchase COVID–19 

19 vaccines from other countries. 

20 (5) Since 2020, military incursions by the Peo21 ple’s Republic of China into Taiwan’s air defense 

22 identification zone have been occurring at a rapidly 

23 increasing pace. In 2022, such incursions occurred 

24 1,700 times, nearly double the total in 2021, which 

25 was itself almost triple the 2020 total. 


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1 (6) Since 2021, there has been a notable in2 crease in military provocations by the People’s Lib3 eration Army against Taiwan, including incursions 

4 over the midline separating the People’s Republic of 

5 China from Taiwan, holding military exercises in the 

6 vicinity of Taiwan’s controlled waters, and per7 forming live-fire exercises in the South China Sea. 

8 (7) In August 2022, the People’s Republic of 

9 China held unprecedented live-fire military exercises 

10 and a simulated blockade involving hundreds of mili11 tary aircraft, dozens of warships, and launches of 

12 short-range ballistic missiles over the territory of 

13 Taiwan. 

14 (8) The People’s Republic of China is attempt15 ing to erase the midline separating it from Taiwan, 

16 increasing the prospects for incidental contact be17 tween forces of the People’s Republic of China and 

18 Taiwan as well as shorting reaction times related to 

19 provocations by the People’s Republic of China. 

20 (9) On August 10, 2022, the Taiwan Affairs 

21 Office of the State Council of the People’s Republic 

22 of China released a white paper entitled ‘‘The Tai23 wan Question and China’s Reunification in the New 

24 Era’’ that reiterated the long-standing position of 

25 the Government of the People’s Republic of China 


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1 not to renounce the use of force to bring about unifi2 cation with Taiwan and to ‘‘always be ready to re3 spond with the use of force . . . to interference by 

4 external forces or radical action by separatist ele5 ments’’. 

6 (10) In March 2021, then Commander of the 

7 United States Indo-Pacific Command Admiral Philip 

8 Davidson testified that the threat of a military inva9 sion of Taiwan by the People’s Liberation Army ‘‘is 

10 manifest during this decade, in fact in the next six 

11 years’’. 

12 (11) In March 2021, then Commander of the 

13 United States Pacific Fleet Admiral John Aquilino 

14 testified that the threat of a military invasion by the 

15 People’s Liberation Army of Taiwan is ‘‘much closer 

16 to us than most think’’ and could materialize well 

17 before 2035. 

18 (12) On February 24, 2022, the Armed Forces 

19 of the Russian Federation initiated an unprovoked 

20 and unjustified invasion of Ukraine, resulting in at 

21 least 14,000 civilian casualties, including more than 

22 5,000 deaths. 

23 (13) The Russian Federation invasion has de24 stabilized global markets and supply chains, from 

25 energy to food, contributing to high inflation and reVerDate Sep 11 2014 03:36 Aug 22, 2024 Jkt 049200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S4789.IS S4789

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1 cession in the United States and deep cuts to global 

2 gross domestic product. 

3 (14) With the assistance of the United States 

4 and European allies, Ukrainian forces have success5 fully repelled the Russian Federation invasion and 

6 recaptured significant portions of territory taken by 

7 the Russian Federation in the initial stages of the 

8 invasion. 

9 (15) In addition to military power, timely mes10 saging around the use of economic and financial in11 struments of United States power and their poten12 tial use can have an important deterrent effect on 

13 the actions of other countries. 

14 SEC. 3. SENSE OF CONGRESS. 

15 It is the sense of Congress that— 

16 (1) it is in the interests of the United States to 

17 maintain a free and open Indo-Pacific region, with 

18 peace and stability in the Taiwan Strait as a critical 

19 component; 

20 (2) efforts by the Government of the People’s 

21 Republic of China and the Chinese Communist 

22 Party to unilaterally determine the future of Taiwan 

23 through non-peaceful means, including threats and 

24 the direct use of force, military coercion, economic 


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1 boycotts or embargoes, cyberattacks, and efforts to 

2 internationally isolate or annex Taiwan— 

3 (A) directly undermine the spirit, intent, 

4 and purpose of the Taiwan Relations Act (22 

5 U.S.C. 3301 et seq.); 

6 (B) undermine peace and stability in the 

7 Taiwan Strait; 

8 (C) limit a free and open Indo-Pacific re9 gion; and 

10 (D) are of grave concern to the Govern11 ment of the United States; 

12 (3) the initiation of a military invasion of Tai13 wan by the People’s Liberation Army would— 

14 (A) constitute a threat to the peace and se15 curity of the Western Pacific Area and threaten 

16 the peace stability of the entire globe; and 

17 (B) undermine the core political, security, 

18 and economic interests of the United States at 

19 home and abroad; and 

20 (4) as an important deterrent measure against 

21 a military invasion of Taiwan, the Government of 

22 the People’s Republic of China and the Chinese 

23 Communist Party must understand that initiating 

24 such an invasion will result in catastrophic economic 


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1 and financial consequences for the People’s Republic 

2 of China. 

3 SEC. 4. STATEMENT OF POLICY. 

4 The policy of the Government of the United States 

5 on Taiwan is guided by the Taiwan Relations Act (22 

6 U.S.C. 3301 et seq.), the United States-People’s Republic 

7 of China joint communique ́s concluded in 1972, 1978, and 

8 1982, and the Six Assurances that President Ronald 

9 Reagan communicated to Taiwan in 1982, but in the event 

10 of the initiation of a military invasion of Taiwan by the 

11 People’s Liberation Army, it is the policy of the United 

12 States— 

13 (1) to use and deploy all economic, commercial, 

14 and financial instruments and levers of power, in15 cluding— 

16 (A) the imposition of sanctions with re17 spect to leadership of the Chinese Communist 

18 Party, key officials of the Government of the 

19 People’s Republic of China, and financial insti20 tutions and other entities affiliated with the 

21 Chinese Communist Party or the Government 

22 of the People’s Republic of China; 

23 (B) prohibiting the listing or trading of the 

24 securities of Chinese entities on United States 

25 securities exchanges; 


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1 (C) prohibiting investments by United 

2 States financial institutions in economic sectors 

3 of the People’s Republic of China; and 

4 (D) prohibiting the importation of certain 

5 goods mined, produced, or manufactured in the 

6 People’s Republic of China into the United 

7 States; and 

8 (2) to work in close coordination with allies and 

9 partners of the United States to encourage those al10 lies and partners to undertake similar economic, 

11 commercial, and financial actions against the Gov12 ernment of the People’s Republic of China and the 

13 Chinese Communist Party. 

14 SEC. 5. DEFINITIONS. 

15 In this Act: 

16 (1) ACCOUNT; CORRESPONDENT ACCOUNT; PAY17 ABLE-THROUGH ACCOUNT.—The terms ‘‘account’’, 

18 ‘‘correspondent account’’, and ‘‘payable-through ac19 count’’ have the meanings given those terms in sec20 tion 5318A of title 31, United States Code. 

21 (2) ADMISSION; ADMITTED; ALIEN.—The terms 

22 ‘‘admission’’, ‘‘admitted’’, and ‘‘alien’’ have the 

23 meanings given those terms in section 101 of the 

24 Immigration and Nationality Act (8 U.S.C. 1101). 


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1 (3) APPROPRIATE CONGRESSIONAL COMMIT2 TEES.—The term ‘‘appropriate congressional com3 mittees’’ means— 

4 (A) the Committee on Foreign Relations, 

5 the Committee on Armed Services, and the 

6 Committee on Banking, Housing, and Urban 

7 Affairs of the Senate; and 

8 (B) the Committee on Foreign Affairs, the 

9 Committee on Armed Services, and the Com10 mittee on Financial Services of the House of 

11 Representatives. 

12 (4) COVERED DETERMINATION.—The term 

13 ‘‘covered determination’’ means a determination by 

14 the President, not later than 24 hours after a mili15 tary invasion of Taiwan by the People’s Liberation 

16 Army or any of its proxies, that such an invasion 

17 has occurred. 

18 (5) FINANCIAL INSTITUTION.—The term ‘‘fi19 nancial institution’’ means a financial institution 

20 specified in subparagraph (A), (B), (C), (D), (E), 

21 (F), (G), (H), (I), (J), (M), or (Y) of section 

22 5312(a)(2) of title 31, United States Code. 

23 (6) FOREIGN PERSON.—The term ‘‘foreign per24 son’’ means an individual or entity that is not a 

25 United States person. 


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1 (7) KNOWINGLY.—The term ‘‘knowingly’’ with 

2 respect to conduct, a circumstance, or a result, 

3 means that a person had actual knowledge, or 

4 should have known, of the conduct, the cir5 cumstance, or the result. 

6 (8) MILITARY INVASION.—The term ‘‘military 

7 invasion’’ includes— 

8 (A) an amphibious landing or assault; 

9 (B) an airborne operation or air assault; 

10 (C) an aerial bombardment or blockade; 

11 (D) missile attacks, including rockets, bal12 listic missiles, cruise missiles, and hypersonic 

13 missiles; 

14 (E) a naval bombardment or armed block15 ade; and 

16 (F) attack on any territory controlled or 

17 administered by the Government of Taiwan, in18 cluding offshore islands controlled or adminis19 tered by that Government. 

20 (9) UNITED STATES PERSON.—The term 

21 ‘‘United States person’’ means— 

22 (A) a United States citizen or an alien law23 fully admitted for permanent residence to the 

24 United States; or 


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1 (B) an entity organized under the laws of 

2 the United States or any jurisdiction within the 

3 United States, including a foreign branch of 

4 such an entity. 

5 SEC. 6. IMPOSITION OF SANCTIONS WITH RESPECT TO OF6 FICIALS OF THE GOVERNMENT OF THE PEO7 PLE’S REPUBLIC OF CHINA AND MEMBERS OF 

8 THE CHINESE COMMUNIST PARTY. 

9 (a) IN GENERAL.—Not later than 3 days after mak10 ing a covered determination, the President shall impose 

11 the sanctions described in subsection (d) with respect to 

12 officials of the Government of the People’s Republic of 

13 China and members of the Chinese Communist Party 

14 specified in subsection (b), to the extent such officials and 

15 members can be identified. 

16 (b) OFFICIALS SPECIFIED.—The officials specified in 

17 this subsection shall include— 

18 (1) senior civilian and military officials of the 

19 People’s Republic of China and military officials who 

20 have command or clear and direct decision-making 

21 power over military campaigns, military operations, 

22 and military planning against Taiwan conducted by 

23 the People’s Liberation Army; 

24 (2) senior civilian and military officials of the 

25 People’s Republic of China who have command or 


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1 clear and direct decision-making power in the Chi2 nese Coast Guard and the Chinese People’s Armed 

3 Police and are engaged in planning or implementing 

4 activities that involve the use of force against Tai5 wan; 

6 (3) senior or special advisors to the General 

7 Secretary of the Chinese Communist Party, the 

8 Chairman of the Central Military Commission, or 

9 the President of the People’s Republic of China; 

10 (4) officials of the Government of the People’s 

11 Republic of China who are members of the top deci12 sion-making bodies of that Government; 

13 (5) the highest-ranking Chinese Communist 

14 Party members of the decision-making bodies re15 ferred to in paragraph (4); and 

16 (6) officials of the Government of the People’s 

17 Republic of China in the intelligence agencies or se18 curity services who— 

19 (A) have clear and direct decision-making 

20 power; and 

21 (B) have engaged in or implemented activi22 ties that— 

23 (i) materially undermine the military 

24 readiness of Taiwan; 


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1 (ii) overthrow or decapitate the Tai2 wan’s government; 

3 (iii) debilitate Taiwan’s electric grid, 

4 critical infrastructure, or cybersecurity sys5 tems through offensive electronic or cyber 

6 attacks; 

7 (iv) undermine Taiwan’s democratic 

8 processes through campaigns to spread 

9 disinformation; or 

10 (v) involve committing serious human 

11 rights abuses against citizens of Taiwan, 

12 including forceful transfers, enforced dis13 appearances, unjust detainment, or tor14 ture. 

15 (c) ADDITIONAL OFFICIALS.— 

16 (1) LIST REQUIRED.—Not later than 30 days 

17 after making a covered determination, and every 90 

18 days thereafter, the President shall submit a list to 

19 the appropriate congressional committees that iden20 tifies any additional foreign persons who— 

21 (A) the President determines are officials 

22 specified in subsection (b); and 

23 (B) who were not included on any previous 

24 list of such officials. 


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1 (2) IMPOSITION OF SANCTIONS.—Upon the sub2 mission of the list required under paragraph (1), the 

3 President shall impose the sanctions described in 

4 subsection (d) with respect to each official included 

5 on the list. 

6 (d) SANCTIONS DESCRIBED.—The sanctions de7 scribed in this subsection to be imposed with respect to 

8 an official specified in subsection (b) or (c) are the fol9 lowing: 

10 (1) BLOCKING OF PROPERTY.— 

11 (A) IN GENERAL.—The President shall ex12 ercise all of the powers granted by the Inter13 national Emergency Economic Powers Act (50 

14 U.S.C. 1701 et seq.) to block and prohibit all 

15 transactions in all property and interests in 

16 property of the official if such property and in17 terests in property are in the United States, 

18 come within the United States, or are or come 

19 within the possession or control of a United 

20 States person. 

21 (B) INAPPLICABILITY OF NATIONAL EMER22 GENCY REQUIREMENT.—The requirements of 

23 section 202 of the International Emergency 

24 Economic Powers Act (50 U.S.C. 1701) shall 

25 not apply for purposes of this section. 


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1 (2) INELIGIBILITY FOR VISAS, ADMISSION, OR

2 PAROLE.— 

3 (A) VISAS, ADMISSION, OR PAROLE.—The 

4 official shall be— 

5 (i) inadmissible to the United States; 

6 (ii) ineligible to receive a visa or other 

7 documentation to enter the United States; 

8 and 

9 (iii) otherwise ineligible to be admitted 

10 or paroled into the United States or to re11 ceive any other benefit under the Immigra12 tion and Nationality Act (8 U.S.C. 1101 et 

13 seq.). 

14 (B) CURRENT VISAS REVOKED.— 

15 (i) IN GENERAL.—The visa or other 

16 entry documentation of the official shall be 

17 revoked, regardless of when such visa or 

18 other entry documentation is or was 

19 issued. 

20 (ii) IMMEDIATE EFFECT.—A revoca21 tion under subparagraph (A) shall— 

22 (I) take effect immediately; and 

23 (II) automatically cancel any 

24 other valid visa or entry documenta25 tion that is in the official’s possession. 


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1 (e) EXCEPTION FOR COMPLIANCE WITH INTER2 NATIONAL OBLIGATIONS AND LAW ENFORCEMENT AC3 TIVITIES.—Sanctions under this section shall not apply 

4 with respect to an official if— 

5 (1) admitting or paroling the official into the 

6 United States is necessary— 

7 (A) to permit the United States to comply 

8 with the Agreement regarding the Head9 quarters of the United Nations, signed at Lake 

10 Success on June 26, 1947, and entered into 

11 force November 21, 1947, between the United 

12 Nations and the United States, or other appli13 cable international obligations of the United 

14 States; or 

15 (B) to carry out or assist law enforcement 

16 activity in the United States; or 

17 (2) the alien holds a valid, unexpired A–1, A– 

18 2, C–2, G–1, or G–2 visa. 

19 (f) TOP DECISION-MAKING BODIES DEFINED.—In 

20 this section, the term ‘‘top decision-making bodies’’ may 

21 include— 

22 (1) the Political Bureau of the Central Com23 mittee of the Chinese Communist Party; 


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1 (2) the Standing Committee of the Political Bu2 reau of the Central Committee of the Chinese Com3 munist Party; 

4 (3) the Central Military Commission of the Chi5 nese Communist Party; 

6 (4) the Central Military Commission of the Peo7 ple’s Republic of China; 

8 (5) the National People’s Congress of the Peo9 ple’s Republic of China; 

10 (6) the Central Committee of the Chinese Com11 munist Party; and 

12 (7) the State Council of the People’s Republic 

13 of China. 

14 SEC. 7. IMPOSITION OF SANCTIONS WITH RESPECT TO FI15 NANCIAL INSTITUTIONS AFFILIATED WITH 

16 THE GOVERNMENT OF THE PEOPLE’S REPUB17 LIC OF CHINA. 

18 (a) IN GENERAL.—Not later than 3 days after a cov19 ered determination is made, the Secretary of the Treas20 ury— 

21 (1) shall impose the sanctions described in sub22 section (b) with respect to— 

23 (A) the People’s Bank of China; and 

24 (B) state-owned banks; and 


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1 (2) may impose those sanctions with respect to 

2 any subsidiary of, or successor entity to, a state3 owned bank. 

4 (b) SANCTIONS DESCRIBED.—The sanctions de5 scribed in this subsection are the following: 

6 (1) BLOCKING OF PROPERTY.— 

7 (A) IN GENERAL.—The President shall ex8 ercise all of the powers granted to the President 

9 under the International Emergency Economic 

10 Powers Act (50 U.S.C. 1701 et seq.) to the ex11 tent necessary to block and prohibit all trans12 actions in property and interests in property of 

13 a financial institution subject to subsection (a) 

14 if such property and interests in property are in 

15 the United States, come within the United 

16 States, or are or come within the possession or 

17 control of a United States person. 

18 (B) INAPPLICABILITY OF NATIONAL EMER19 GENCY REQUIREMENT.—The requirements of 

20 section 202 of the International Emergency 

21 Economic Powers Act (50 U.S.C. 1701) shall 

22 not apply for purposes of this section. 

23 (2) RESTRICTIONS ON CORRESPONDENT AND

24 PAYABLE-THROUGH ACCOUNTS.—The President 

25 shall prohibit the opening, and prohibit or impose 


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1 strict conditions on the maintaining, in the United 

2 States of a correspondent account or payable3 through account by a financial institution subject to 

4 subsection (a). 

5 (c) STATE-OWNED BANK DEFINED.—In this section, 

6 the term ‘‘state-owned bank’’— 

7 (1) means a bank that— 

8 (A) is incorporated in the People’s Repub9 lic of China; and 

10 (B) is owned in whole or part by the Gov11 ernment of the People’s Republic of China; and 

12 (2) includes— 

13 (A) the Export-Import Bank of China; 

14 (B) the China Development Bank; 

15 (C) the Agricultural Development Bank of 

16 China; 

17 (D) the Industrial and Commercial Bank 

18 of China; 

19 (E) the China Construction Bank; 

20 (F) the Bank of Communications; 

21 (G) the Agricultural Bank of China; and 

22 (H) the Bank of China. 


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1 SEC. 8. IMPOSITION OF SANCTIONS WITH RESPECT TO EN2 TITIES OWNED BY OR AFFILIATED WITH THE 

3 GOVERNMENT OF THE PEOPLE’S REPUBLIC 

4 OF CHINA OR THE CHINESE COMMUNIST 

5 PARTY. 

6 (a) IN GENERAL.—Not later than 3 days after a cov7 ered determination is made, the Secretary of the Treasury 

8 shall impose the sanctions described in subsection (b) with 

9 respect to any entity that— 

10 (1) the Government of the People’s Republic of 

11 China or the Chinese Communist Party has an own12 ership interest in; or 

13 (2) is otherwise affiliated with the Government 

14 of the People’s Republic of China or the Chinese 

15 Communist Party. 

16 (b) BLOCKING OF PROPERTY.— 

17 (1) IN GENERAL.—The President shall exercise 

18 all of the powers granted to the President under the 

19 International Emergency Economic Powers Act (50 

20 U.S.C. 1701 et seq.) to the extent necessary to block 

21 and prohibit all transactions in property and inter22 ests in property of an entity subject to subsection 

23 (a) if such property and interests in property are in 

24 the United States, come within the United States, or 

25 are or come within the possession or control of a 

26 United States person. 


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1 (2) INAPPLICABILITY OF NATIONAL EMER2 GENCY REQUIREMENT.—The requirements of section 

3 202 of the International Emergency Economic Pow4 ers Act (50 U.S.C. 1701) shall not apply for pur5 poses of this section. 

6 SEC. 9. PROHIBITION ON TRANSFERS OF FUNDS INVOLV7 ING THE PEOPLE’S REPUBLIC OF CHINA. 

8 (a) IN GENERAL.—Except as provided by subsection 

9 (b), not later than 3 days after a covered determination 

10 is made, a depository institution (as defined in section 

11 19(b)(1)(A) of the Federal Reserve Act (12 U.S.C. 

12 461(b)(1)(A))) or a broker or dealer in securities reg13 istered with the Securities and Exchange Commission 

14 under the Securities Exchange Act of 1934 (15 U.S.C. 

15 78a et seq.) may not process transfers of funds— 

16 (1) to or from the People’s Republic of China; 

17 or 

18 (2) for the direct or indirect benefit of officials 

19 of the Government of the People’s Republic of China 

20 or members of the Chinese Communist Party. 

21 (b) EXCEPTION.—A depository institution, broker, or 

22 dealer described in subsection (a) may process a transfer 

23 described in that subsection if the transfer— 

24 (1) arises from, and is ordinarily incident and 

25 necessary to give effect to, an underlying transaction 


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1 that is authorized by a specific or general license; 

2 and 

3 (2) does not involve debiting or crediting an 

4 Chinese account. 

5 SEC. 10. PROHIBITION ON LISTING OR TRADING OF CHI6 NESE ENTITIES ON UNITED STATES SECURI7 TIES EXCHANGES. 

8 (a) IN GENERAL.—The Securities and Exchange 

9 Commission shall prohibit the securities of an issuer de10 scribed in subsection (b) from being traded on a national 

11 securities exchange on and after the date that is 3 days 

12 after a covered determination is made. 

13 (b) ISSUERS.—An issuer described in this subsection 

14 is an issuer that is— 

15 (1) an official of or individual affiliated with the 

16 Government of the People’s Republic of China or the 

17 Chinese Communist Party; or 

18 (2) an entity that— 

19 (A) the Government of the People’s Repub20 lic of China or the Chinese Communist Party 

21 has an ownership interest in; or 

22 (B) is otherwise affiliated with the Govern23 ment of the People’s Republic of China or the 

24 Chinese Communist Party. 

25 (c) DEFINITIONS.—In this section: 


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1 (1) ISSUER; SECURITY.—The terms ‘‘issuer’’ 

2 and ‘‘security’’ have the meanings given those terms 

3 in section 3(a) of the Securities Exchange Act of 

4 1934 (15 U.S.C. 78c). 

5 (2) NATIONAL SECURITIES EXCHANGE.—The 

6 term ‘‘national securities exchange’’ means an ex7 change registered as a national securities exchange 

8 in accordance with section 6 of the Securities Ex9 change Act of 1934 (15 U.S.C. 78f). 

10 SEC. 11. PROHIBITION ON INVESTMENTS BY UNITED 

11 STATES FINANCIAL INSTITUTIONS THAT BEN12 EFIT THE GOVERNMENT OF THE PEOPLE’S 

13 REPUBLIC OF CHINA OR THE CHINESE COM14 MUNIST PARTY. 

15 (a) IN GENERAL.—Not later than 3 days after a cov16 ered determination is made, the Secretary of the Treasury 

17 shall prohibit any United States financial institution from 

18 making any investments described in subsection (b). 

19 (b) INVESTMENTS DESCRIBED.—An investment de20 scribed in this subsection is a monetary investment— 

21 (1) to— 

22 (A) an entity owned or controlled by the 

23 Government of the People’s Republic of China 

24 or the Chinese Communist Party; or 

25 (B) the People’s Liberation Army; or 


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1 (2) for the benefit of any priority industrial sec2 tor identified in the ‘‘Made in China 2025’’ plan or 

3 the ‘‘14th Five Year Smart Manufacturing Develop4 ment Plan’’, including— 

5 (A) agriculture machinery; 

6 (B) information technology; 

7 (C) artificial intelligence, machine learning, 

8 and robotics; 

9 (D) green energy and green vehicles; 

10 (E) aerospace equipment; 

11 (F) ocean engineering and high tech ships; 

12 (G) railway equipment; 

13 (H) power equipment; 

14 (I) new materials; 

15 (J) medicine and medical devices; 

16 (K) fifth generation and future generation 

17 telecommunications and other advanced wireless 

18 networking technologies; 

19 (L) semiconductor manufacturing; 

20 (M) biotechnology; 

21 (N) quantum computing; 

22 (O) surveillance technologies, including fa23 cial recognition technologies and censorship 

24 software; 

25 (P) fiber optic cables; and 


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1 (Q) mining and resource development. 

2 (c) UNITED STATES FINANCIAL INSTITUTION DE3 FINED.—In this section, the term ‘‘United States financial 

4 institution’’— 

5 (1) means any financial institution that is a 

6 United States person; and 

7 (2) includes an investment company, private eq8 uity company, venture capital company, or hedge 

9 fund that is a United States person. 

10 SEC. 12. PROHIBITION ON ENERGY EXPORTS TO, AND IN11 VESTMENTS IN ENERGY SECTOR OF, THE 

12 PEOPLE’S REPUBLIC OF CHINA. 

13 (a) PROHIBITION ON EXPORTS.— 

14 (1) IN GENERAL.—On and after the date that 

15 is 3 days after a covered determination is made, the 

16 Secretary of Commerce shall prohibit, under the Ex17 port Control Reform Act of 2018 (50 U.S.C. 4801 

18 et seq.), the export, reexport, or in-country transfer 

19 to or in the People’s Republic of China any energy 

20 or energy product produced in the United States. 

21 (2) DEFINITIONS.—In this subsection, the 

22 terms ‘‘export’’, ‘‘in-country transfer’’, ‘‘reexport’’, 

23 and ‘‘United States person’’ have the meanings 

24 given those terms in section 1742 of the Export 

25 Control Reform Act of 2018 (50 U.S.C. 4801). 


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1 (b) PROHIBITION ON INVESTMENTS.—On and after 

2 the date that is 3 days after a covered determination is 

3 made, a United States person may not make an invest4 ment in the energy sector of the People’s Republic of 

5 China. 

6 SEC. 13. SUSPENSION OF NORMAL TRADE RELATIONS WITH 

7 THE PEOPLE’S REPUBLIC OF CHINA. 

8 Notwithstanding the provisions of title I of Public 

9 Law 106–286 (114 Stat. 880) or any other provision of 

10 law, beginning on the date that is 3 days after a covered 

11 determination is made, normal trade relations treatment 

12 shall not apply pursuant to section 101(a) of that Act to 

13 the products of the People’s Republic of China. 

14 SEC. 14. EXCEPTIONS; WAIVER. 

15 (a) EXCEPTION FOR INTELLIGENCE ACTIVITIES.— 

16 This Act shall not apply with respect to activities subject 

17 to the reporting requirements under title V of the National 

18 Security Act of 1947 (50 U.S.C. 3091 et seq.) or any au19 thorized intelligence activities of the United States. 

20 (b) NATIONAL SECURITY WAIVER.—The President 

21 may waive the imposition of sanctions under this Act with 

22 respect to a person if the President— 

23 (1) determines that such a waiver is in the na24 tional security interests of the United States; and 


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1 (2) submits to the appropriate congressional 

2 committees a notification of the waiver and the rea3 sons for the waiver. 

4 SEC. 15. IMPLEMENTATION; PENALTIES. 

5 (a) IMPLEMENTATION.—The President may exercise 

6 all authorities provided under sections 203 and 205 of the 

7 International Emergency Economic Powers Act (50 

8 U.S.C. 1702 and 1704) to carry out this Act. 

9 (b) PENALTIES.—A person that violates, attempts to 

10 violate, conspires to violate, or causes a violation of this 

11 Act or any regulation, license, or order issued to carry out 

12 this Act shall be subject to the penalties set forth in sub13 sections (b) and (c) of section 206 of the International 

14 Emergency Economic Powers Act (50 U.S.C. 1705) to the 

15 same extent as a person that commits an unlawful act de16 scribed in subsection (a) of that section. 

Æ 


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