Allies Strengthening Economies And Manufacturing Act

To require the Secretary of State to implement a strategy to reduce reliance on concentrated supply chains for critical goods, and for other purposes. 1. Short title This Act may be cited as the Allies Strengthening Economies And Manufacturing Act 2. Sense of Congress (a) Sense of Congress It is the sense of Congress that— (1) resilient supply chains are paramount to the national security and economic security of the United States; (2) a coordinated and whole-of-government approach to safeguarding supply chains will benefit all Americans and ensure disruptions are avoided or mitigated; (3) the Secretary of State and Secretary of Commerce, and other interagency stakeholders as appropriate, should assist and incentivize countries in the Western Hemisphere to build capacity for manufacturing of critical goods; (4) the Secretary of State should promote the leadership of the United States with respect to critical industries and supply chains that— (A) strengthen the national security of the United States; and (B) have a significant effect on the economic security of the United States; (5) the Secretary of State should support the availability of critical goods by assisting with the coordination of activities to supporting manufacturing operations in the Western Hemisphere; and (6) the Secretary of State should support efforts to reduce the reliance of domestic entities and domestic manufacturers on critical goods with concentrated supply chains from countries of concern by assisting in the identification of alternative procurement sources within the Western Hemisphere. 3. United States strategy to counter threats to supply chains for critical goods (a) In general In accordance with Executive Order 14017 (86 Fed. Reg. 11849), the Secretary of State shall implement a strategy to reduce reliance on concentrated supply chains for critical goods and protect against any threats from countries of concern relating to supply chains for critical goods. (b) Elements The strategy required under subsection (a) shall include plans to— (1) coordinate with other countries in the Western Hemisphere to mitigate the effects of supply chain shocks, avoid disruptions to manufacturing operations, and ensure continuity of the flow of goods during the period of a covered emergency; (2) execute a unified effort between countries in the Western Hemisphere to reduce reliance on concentrated supply chains for critical goods and protect against threats from countries of concern relating to supply chains for critical goods; (3) identify alternative sources for procuring critical goods by ensuring that supply chains for critical goods are not vulnerable to disruption, strain, compromise, or elimination, including by being concentrated in a country of concern; (4) collaborate with other relevant Federal Government agencies to assist the Western Hemisphere to build capacity for manufacturing critical goods; and (5) provide technical assistance to governments in the Western Hemisphere to improve regulatory and investment frameworks to welcome companies with intention to relocate manufacturing facilities, especially those currently located in countries of concern. (c) Submission of strategy (1) In general Not later than 180 days after the date of the enactment of this Act, the Secretary of State shall submit to the Committee on Foreign Affairs of the House of Representatives and the Committee on Foreign Relations of the Senate, and publish on the website of the Office of the Secretary, a report containing the strategy required under subsection (a). (2) Updates Not less than once every 4 years after the date on which the report is submitted under paragraph (1), the Secretary shall submit to the committees specified in such paragraph a report containing an update to such strategy. (3) Form The report submitted under paragraph (1), and updates submitted under paragraph (2), shall be submitted in unclassified form and may include a classified annex. (d) Critical Supply Chain Task Force (1) In general Not later than 270 days after the date of the enactment of this Act, the Secretary of State shall establish a Critical Supply Chain Task Force (A) implement the strategy required under subsection (a); (B) encourage partnerships and collaboration with the Federal Government, the private sector, and governments of countries in the Western Hemisphere to— (i) promote the resilience of supply chains for critical goods; and (ii) respond to and mitigate the effects of supply chain shocks to critical industries and supply chains for critical goods; (C) encourage the relocation of facilities that manufacture critical goods from countries of concern to the United States or Western Hemisphere to safeguard against supply chain disruptions; (D) support the development, maintenance, improvement, competitiveness, restoration, and expansion of the productive capacities, efficiency, and workforce of critical industries in countries in the Western Hemisphere; and (E) encourage manufacturing growth and opportunities in economically distressed areas in the Western Hemisphere. (e) Coordination of efforts The Secretary of State shall cooperate and complement interagency actions necessary to carry out the functions described in the strategy required under subsection (a). (f) Diversity in recipients Activities to implement the strategy required under subsection (a) shall be performed in a manner that will serve the greatest needs for the most diverse array of critical industries. (g) Limitation None of the funds made available to carry out this Act may be used to support manufacturing in a country of concern. (h) Definitions In this section: (1) Concentrated With respect to a supply chain, the term concentrated (A) a supply chain— (i) that is under a level of control or influence by the government of a country of concern that presents an unreasonable risk to national security or economic security; (ii) that is subject to undue manipulation by the government of a country of concern; or (iii) for which 30 percent of the production of such critical good occurs in a single foreign country; or (B) a supply chain for a critical good for which more than 50 percent of the supply of such good in the United States is imported. (2) Country of concern The term country of concern (A) in which a concentrated supply chain for a critical good is located; (B) that poses a significant national security or economic security threat to the United States; and (C) the government of which, or elements of such government, has proven, or has been credibly alleged to have, committed crimes against humanity or genocide. (3) Covered emergency The term covered emergency (A) A public health emergency declared by the Secretary of Health and Human Services pursuant to section 319 of the Public Health Service Act ( 42 U.S.C. 247d (B) An event for which the President declares a major disaster or an emergency under section 401 or 501, respectively, of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170 and 5191). (C) A national emergency declared by the President under the National Emergencies Act ( 50 U.S.C. 1601 et seq. (4) Critical good The term critical good (A) the national security or economic security of the United States; and (B) critical infrastructure, as such term is defined in the Critical Infrastructures Protection Act of 2001 ( 42 U.S.C. 5195c(e) (5) Critical industry The term critical industry (A) Artificial intelligence, machine learning, autonomy, and related advances. (B) High performance computing, semiconductors, and advanced computer hardware and software. (C) Quantum information science and technology. (D) Robotics, automation, and advanced manufacturing. (E) Natural and anthropogenic disaster prevention or mitigation. (F) Advanced communications technology, including optical transmission components. (G) Biotechnology, medical technology, genomics, and synthetic biology. (H) Data storage, data management, distributed ledger technologies, and cybersecurity, including biometrics. (I) Advanced energy and industrial efficacy technologies, such as batteries, advanced nuclear technologies, and polysilicon for use in solar photovoltaics, including but not limited to for the purposes of electric generation (consistent with section 15 of the National Sciences Foundation Act of 1950 ( 42 U.S.C. 1874 (J) Advanced materials science, including composites and 2D materials and equipment, aerospace grade metals, and aerospace specific manufacturing enabling chemicals. (6) Western Hemisphere The term Western Hemisphere (A) Has a democratically elected government and a market economy. (B) Is one of the following countries: (i) Anguilla. (ii) Antigua and Barbuda. (iii) Argentina. (iv) Aruba. (v) The Bahamas. (vi) Barbados. (vii) Belize. (viii) Bermuda. (ix) Bolivia. (x) Brazil. (xi) The British Virgin Islands. (xii) Canada. (xiii) Chile. (xiv) Colombia. (xv) Costa Rica. (xvi) Dominica. (xvii) Dominican Republic. (xviii) Ecuador. (xix) El Salvador. (xx) Grenada. (xxi) Guatemala. (xxii) Guyana. (xxiii) Haiti. (xxiv) Honduras. (xxv) Jamaica. (xxvi) Mexico. (xxvii) Montserrat. (xxviii) Netherlands Antilles. (xxix) Nicaragua. (xxx) Panama. (xxxi) Paraguay. (xxxii) Peru. (xxxiii) Saint Kitts and Nevis. (xxxiv) Saint Lucia. (xxxv) Saint Vincent and the Grenadines. (xxxvi) Suriname. (xxxvii) Trinidad and Tobago. (xxxviii) Turks and Caicos Islands. (xxxix) Uruguay. (xl) The sovereign government recognized by the United States in Venezuela. (7) Manufacture The term manufacture (8) Supply chain shock The term supply chain shock (A) A natural disaster or extreme weather event. (B) An accidental or human-caused event. (C) An economic disruption. (D) A pandemic. (E) A biological threat. (F) A cyberattack. (G) A great power conflict. (H) A terrorist or geopolitical attack. (I) Any other supply chain disruption or threat that affects the national security or economic security of the United States.

Summary: Allies Strengthening Economies And Manufacturing Act This bill requires actions to address threats to supply chains for critical goods. Under this bill, a critical good is any good, including raw materials and commodities, where a shortage or absence would have a significant effect on (1) U.S. national or economic security, and (2) critical infrastructure. The Department of State must implement a strategy to reduce reliance on concentrated supply chains for critical goods and protect against threats from countries of concern against such supply chains. The strategy must contain various elements, including plans to (1) coordinate with other Western Hemisphere countries to mitigate the effect of supply chain shocks and avoid manufacturing disruptions, (2) execute a unified effort by Western Hemisphere countries to reduce reliance on concentrated supply chains for critical goods, and (3) provide technical assistance to help Western Hemisphere countries improve regulatory and investment frameworks to welcome companies looking to relocate manufacturing to such countries. The State Department must annually report to Congress on the strategy. The State Department must also establish a Critical Supply Chain Task Force to implement the strategy and take other actions to support the strategy, such as encouraging the relocation of critical goods manufacturing from countries of concern to the United States or other Western Hemisphere countries.