AIRSHIP Act of 2023

To include certain persons of the People's Republic of China on entity lists maintained by the Department of the Treasury. 1. Short title This Act may be cited as the Asserting International Restrictions to Strategically Hinder Intelligence Programs Act of 2023 AIRSHIP Act of 2023 2. Findings Congress finds the following: (1) On February 1, 2023, a spy balloon originating from the People's Republic of China was identified over the skies of Montana. (2) From the time the balloon entered the airspace of the United States until the balloon was terminated on February 4, 2023, the balloon collected and transmitted data regarding sensitive national security sites, such as the missile fields at Malmstrom Air Force Base, Cascade County, Montana. (3) Following the incident the Bureau of Industry and Security added 6 entities of the People's Republic of China to the Entity List set forth in Supplement No. 4 to part 744 of the Export Administration Regulations due to support by such entities for military programs of the People's Republic of China related to airships and balloons. (4) Of the 6 entities, only 1 has been added to the Non-SDN Chinese Military-Industrial Complex Companies List maintained by the Office of Foreign Assets Control of the Department of the Treasury and subject to sanctions by the Department of the Treasury. (5) According to Executive Order 14032 (86 Fed. Reg. 30145; relating to addressing the threat from securities investments that finance certain companies of the People’s Republic of China)— (A) there is a threat posed by the military-industrial complex of the People’s Republic of China and its involvement in military, intelligence, and security research and development programs, and weapons and related equipment production under (B) the use of Chinese surveillance technology outside the PRC and the development or use of Chinese surveillance technology to facilitate repression or serious human rights abuse constitute unusual and extraordinary threats, which have their source in whole or substantial part outside the United States, to the national security, foreign policy, and economy of the United States (6) Executive Order 14032 explicitly expands the scope of Executive Order 13959 ( 50 U.S.C. 1701 3. Inclusion of certain persons of the People's Republic of China on entity lists (a) Inclusion on Non-SDN Chinese Military-Industrial Complex Companies List Not later than 90 days after the date of the enactment of this Act, the Secretary of the Treasury shall include on the Non-SDN Chinese Military-Industrial Complex Companies List maintained by the Office of Foreign Assets Control of the Department of the Treasury the following persons: (1) The Beijing Nanjiang Aerospace Technology Company. (2) The Dongguan Lingkong Remote Sensing Technology Company. (3) The Eagles Men Aviation Science and Technology Group Company. (4) The Guangzhou Tian-Hai-Xiang Aviation Technology Company. (5) The Shanxi Eagles Men Aviation Science and Technology Group Company. (b) Inclusion on SDN List Not later than 90 days after the date of the enactment of this Act, the Secretary of the Treasury shall include on the list of specially designated nationals and blocked persons maintained by the Office of Foreign Assets Control the following persons: (1) Xiong Qunli, the Chairman of China Electronics Technology Group Corporation. (2) Wu Zhe, a Chinese scientist and professor of aeronautics at Beihang University. (3) Wang Dong, the General Manager and largest shareholder of Deluxe Family.

Summary: Asserting International Restrictions to Strategically Hinder Intelligence Programs Act of 2023 or the AIRSHIP Act of 2023 This bill imposes sanctions on specified Chinese companies and individuals. Specifically, the Department of the Treasury must add certain companies, such as the Beijing Nanjiang Aerospace Technology Company and the Dongguan Lingkong Remote Sensing Technology Company, to the Non-SDN Chinese Military-Industrial Complex Companies List maintained by the Office of Foreign Assets Control (OFAC). (Companies on this list are subject to certain restrictions, including prohibitions on U.S. persons engaging in transactions involving the publicly traded securities of the company.) Treasury must also add certain individuals, such as Wu Zhe, professor of aeronautics at Beihang University, to the Specially Designated Nationals and Blocked Persons List maintained by OFAC. (Individuals and entities on this list are subject to asset- and transaction-blocking sanctions.)