SEC. 2. CODIFICATION OF EXECUTIVE ORDER 14059. 
United States sanctions provided for in Executive 
Order 14059 (86 Fed. Reg. 71549; Imposing Sanctions 
on Foreign Persons Involved in the Global Illicit Drug 
Trade), as in effect on the day before the date of the en-
actment of this Act, shall remain in effect and continue 
to apply. 
SEC. 3. AUTHORIZATION OF SANCTIONS. 
(a) IN GENERAL.—On and after the date that is 180 
days after the date of the enactment of this Act, the Presi-
dent is authorized to impose the sanction described in sub-
section (b) with respect to a foreign person if the Presi-
dent determines that the person— 
(1) has engaged in, or attempted to engage in, 
activities or transactions in the People’s Republic of 
China, including in Hong Kong and Macau, or with 
respect to persons domiciled in, organized under the 
laws of, or with their principal place of business in 
such jurisdictions, that have contributed to, or pose 
a significant risk of contributing to, the inter-
national proliferation of illicit synthetic narcotics or 
their means of production; 
(2) has knowingly or with reckless disregard 
has received any property or interest in property 
that— 
VerDate Sep 11 2014 
21:04 Jan 22, 2025
Jkt 059200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H10447.IH
H10447
ssavage on LAPJG3WLY3PROD with BILLS
(A) constitutes or is derived from proceeds 
of activities or transactions in the People’s Re-
public of China, including in Hong Kong and 
Macau, or with respect to persons domiciled in, 
organized under the laws of, or with their prin-
cipal place of business in such jurisdictions, 
that have materially contributed to, or pose a 
significant risk of materially contributing to, 
the international proliferation of illicit synthetic 
narcotics or their means of production; or 
(B) was used or may have been intended 
to be used to commit or to facilitate activities 
or transactions in the People’s Republic of 
China, including in Hong Kong and Macau, or 
with respect to persons domiciled in, organized 
under the laws of, or with their principal place 
of business in such jurisdictions, that have ma-
terially contributed to, or pose a significant risk 
of materially contributing to, the international 
proliferation of illicit synthetic narcotics or 
their means of production; 
(3) is a PRC owned or operated port or ship 
that, knowingly or with reckless disregard, facilitates 
the shipment and transportation of illicit synthetic 
narcotics or their precursors (including in such cir-
VerDate Sep 11 2014 
21:04 Jan 22, 2025
Jkt 059200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H10447.IH
H10447
ssavage on LAPJG3WLY3PROD with BILLS
cumstances where those precursors are improperly 
labeled during the customs process); 
(4) is a PRC entity that produces illicit syn-
thetic narcotics or their precursors and, knowingly 
or with reckless disregard, sells those precursors to 
persons involved in the proliferation of illicit syn-
thetic narcotics; 
(5) is a PRC online marketplace that, know-
ingly or with reckless disregard, facilitates the sale 
of, exchange of, shipment of, transshipment of, con-
veyance of, or payment for illicit synthetic narcotics; 
(6) is a covered PRC government entity; 
(7) is a PRC entity that knowingly or with 
reckless disregard, provides material support related 
to illicit synthetic narcotics to a covered PRC gov-
ernment entity; 
(8) has established an entity that engages in, 
has engaged in, or is designed to engage in evading 
sanctions that would otherwise be imposed pursuant 
to this Act; or 
(9) is acting directly or indirectly for or on be-
half of a person referred to in paragraphs (1) 
through (8). 
(b) SANCTION DESCRIBED.— 
VerDate Sep 11 2014 
21:04 Jan 22, 2025
Jkt 059200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H10447.IH
H10447
ssavage on LAPJG3WLY3PROD with BILLS
(1) IN GENERAL.—The sanction described in 
this subsection is the exercise all of the powers 
granted to the President under the International 
Emergency Economic Powers Act (50 U.S.C. 1701 
et seq.) to the extent necessary to block and prohibit 
all transactions in property and interests in property 
of a foreign person if such property or interests in 
property are in the United States, come within the 
United States, or are or come within the possession 
or control of a United States person. 
(2) IMPLEMENTATION.—The President may ex-
ercise the authorities provided to the President 
under sections 203 and 205 of the International 
Emergency Economic Powers Act (50 U.S.C. 1702 
and 1704) to the extent necessary to carry out this 
section. 
(3) PENALTIES.—The penalties provided for in 
subsections (b) and (c) of section 206 of the Inter-
national Emergency Economic Powers Act (50 
U.S.C. 1705) shall apply to any person who violates, 
attempts to violate, conspires to violate, or causes a 
violation of any prohibition of this section, or an 
order or regulation prescribed under this section, to 
the same extent that such penalties apply to a per-
son that commits an unlawful act described in sub-
VerDate Sep 11 2014 
21:04 Jan 22, 2025
Jkt 059200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H10447.IH
H10447
ssavage on LAPJG3WLY3PROD with BILLS
section section 206(a) of such Act (50 U.S.C. 
1705(a)). 
(4) EXCEPTIONS.— 
(A) EXCEPTION FOR INTELLIGENCE AND 
LAW
ENFORCEMENT
ACTIONS.—Sanctions 
under this section shall not apply with respect 
to— 
(i) any activity subject to the report-
ing requirements under title V of the Na-
tional Security Act of 1947 (50 U.S.C. 
3091 et seq.); or 
(ii) any authorized intelligence or law 
enforcement activities of the United States. 
(B) EXCEPTION
RELATING
TO
IMPORTA-
TION OF GOODS.— 
(i) IN GENERAL.—The authorities and 
requirements to impose sanctions author-
ized under this section shall not include 
the authority or requirement to impose 
sanctions on the importation of goods. 
(ii) GOOD DEFINED.—In this subpara-
graph, the term ‘‘good’’ means any article, 
natural or manmade substance, material, 
supply or manufactured product, including 
VerDate Sep 11 2014 
21:04 Jan 22, 2025
Jkt 059200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H10447.IH
H10447
ssavage on LAPJG3WLY3PROD with BILLS
inspection and test equipment, and exclud-
ing technical data. 
(c) WAIVER.—The President may waive the applica-
tion of sanctions under this section with respect to a for-
eign person for renewable periods of not more than 180 
days each if the President determines and reports to Con-
gress that such a waiver is in national interests of the 
United States. 
(d) RULE OF CONSTRUCTION.—Nothing in this sec-
tion may be construed to limit the authority of the Presi-
dent to designate or sanction persons pursuant to an ap-
plicable Executive order or a Federal statute, including 
the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.). 
(e) CONSIDERATION OF CERTAIN INFORMATION IN 
IMPOSING SANCTIONS.—In determining whether to im-
pose sanctions under subsection (a), the President shall 
consider— 
(1) information provided jointly by the chair-
person and ranking member of each of the appro-
priate congressional committees; and 
(2) credible information obtained by other coun-
tries and nongovernmental organizations that mon-
itor violations of human rights. 
VerDate Sep 11 2014 
21:04 Jan 22, 2025
Jkt 059200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H10447.IH
H10447
ssavage on LAPJG3WLY3PROD with BILLS
jointly by the chairperson and ranking member of 
one of the appropriate congressional committees. 
SEC. 4. FINANCIAL SANCTIONS. 
The Secretary of the Treasury may, in consultation 
with the Secretary of State, prohibit the opening of, or 
impose strict conditions on the maintenance of, cor-
respondent accounts or payable-through accounts in the 
United States by a foreign financial institution that the 
President determines has, on or after the date of the en-
actment of this Act, knowingly conducted or facilitated a 
significant transaction or transactions on behalf of a for-
eign person described in section 3(a). 
SEC. 5. DEFINITIONS. 
In this Act— 
(1) the term ‘‘appropriate congressional com-
mittees’’ means— 
(A) the Committee on Banking, Housing, 
and Urban Affairs; and 
(B) the Committee on Foreign Affairs and 
the Select Committee on Strategic Competition 
between the United States and the Chinese 
Communist Party of the House of Representa-
tives; 
(2) the term ‘‘covered PRC government entity’’ 
includes— 
VerDate Sep 11 2014 
21:04 Jan 22, 2025
Jkt 059200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H10447.IH
H10447
ssavage on LAPJG3WLY3PROD with BILLS
(A) the PRC government, a PRC govern-
ment official, or any entity or instrumentality 
thereof, that is identified by the United States 
Government as knowingly or recklessly facili-
tating the flow of illicit synthetic narcotics into 
the United States or otherwise providing mate-
rial support to a foreign person described in 
section 3(a); 
(B) any subsidiary, affiliate, or successor 
of an entity described in subparagraph (A); and 
(C) any person owned or controlled by, or 
that provides material support to or for, or re-
ceives materially support from an entity de-
scribed in subparagraph (A); 
(3) the term ‘‘foreign person’’ means a person 
that is not a United States person; 
(4) the term ‘‘illicit synthetic narcotics’’ 
means— 
(A) controlled substances, as such term is 
defined in section 102(6) of the Controlled Sub-
stances Act (21 U.S.C. 802(6)), with the excep-
tion of— 
(i) substances of natural origins; and 
(ii) medications that are lawful under 
the laws of the United States and the 
VerDate Sep 11 2014 
21:04 Jan 22, 2025
Jkt 059200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H10447.IH
H10447
ssavage on LAPJG3WLY3PROD with BILLS
Drug Enforcement Administration has pro-
vided an import permit to the importing 
organization for the import of such medi-
cation; 
(B) listed chemicals, as such term is de-
fined in section 102(33) of the Controlled Sub-
stances Act (21 U.S.C. 802(33)); and 
(C) active pharmaceutical ingredients or 
chemicals that are used in the production of 
controlled substances described in subpara-
graphs (A) and (B); 
(5) the term ‘‘knowingly’’, with respect to con-
duct, a circumstance, or a result, means that a per-
son has actual knowledge, or should have known, of 
the conduct, the circumstance, or the result; 
(6) the term ‘‘PRC’’ means the People’s Repub-
lic of China; and 
(7) the term ‘‘United States person’’ means any 
United States citizen, permanent resident alien, an 
entity organized under the laws of the United States 
or any jurisdiction within the United States (includ-
ing a foreign branch of such an entity), or any per-
son in the United States. 
Æ 
VerDate Sep 11 2014 
21:04 Jan 22, 2025
Jkt 059200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6301
E:\BILLS\H10447.IH
H10447
ssavage on LAPJG3WLY3PROD with BILLS