Title: Taiwan Policy Act of 2022
Policy area: International Affairs

Summary:
Taiwan Policy Act of 2022
This bill provides support to Taiwan and addresses related issues.
For example, the bill (1) establishes the Taiwan Security Assistance Initiative, which shall provide foreign military financing assistance for Taiwan and contain other measures to strengthen the U.S.-Taiwan defense relationship; (2) establishes a comprehensive training program with Taiwan's government to familiarize the U.S. military and Taiwan's military with each other and achieve interoperability; and (3) authorizes the Department of State to take actions to help Taiwan become a non-borrowing member of the Inter-American Development Bank.

[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 4428 Introduced in Senate (IS)]

<DOC>






117th CONGRESS
  2d Session
                                S. 4428

To support the security of Taiwan and its right of self-determination, 
                        and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 16, 2022

  Mr. Menendez (for himself and Mr. Graham) introduced the following 
  bill; which was read twice and referred to the Committee on Foreign 
                               Relations

_______________________________________________________________________

                                 A BILL


 
To support the security of Taiwan and its right of self-determination, 
                        and for other purposes.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Taiwan Policy Act 
of 2022''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Definitions.
              TITLE I--UNITED STATES POLICY TOWARD TAIWAN

Sec. 101. Declaration of policy.
Sec. 102. Treatment of the Government of Taiwan.
Sec. 103. Taiwan symbols of sovereignty.
Sec. 104. Designation and references to Taiwan Representative Office.
Sec. 105. Senate confirmation of the Director of the Taipei office of 
                            the American Institute in Taiwan.
TITLE II--IMPLEMENTATION OF AN ENHANCED DEFENSE PARTNERSHIP BETWEEN THE 
                        UNITED STATES AND TAIWAN

Sec. 201. Amendments to the Taiwan Relations Act.
Sec. 202. Anticipatory planning and annual review of the United States 
                            strategy to defend Taiwan.
Sec. 203. Joint assessment.
Sec. 204. Taiwan Security Assistance Initiative.
Sec. 205. Requirements regarding definition of counter intervention 
                            capabilities.
Sec. 206. Comprehensive training program.
Sec. 207. Military planning mechanism.
Sec. 208. Assessment of Taiwan's needs for civilian defense and 
                            resilience.
Sec. 209. Prioritizing excess defense article transfers for Taiwan.
Sec. 210. Fast-tracking sales to Taiwan under the Foreign Military 
                            Sales program.
Sec. 211. Whole-of-government deterrence measures to respond to the 
                            People's Republic of China's force against 
                            Taiwan.
Sec. 212. Increase in annual war reserves stockpile additions and 
                            support for Taiwan.
Sec. 213. Designation of Taiwan as a major non-NATO ally.
   TITLE III--COUNTERING PEOPLE'S REPUBLIC OF CHINA'S AGGRESSION AND 
                          INFLUENCE CAMPAIGNS

Sec. 301. Strategy to respond to influence and information operations 
                            targeting Taiwan.
Sec. 302. Strategy to counter economic coercion by the People's 
                            Republic of China targeting countries and 
                            entities that support Taiwan.
      TITLE IV--INCLUSION OF TAIWAN IN INTERNATIONAL ORGANIZATIONS

Sec. 401. Participation of Taiwan in international organizations.
Sec. 402. Participation of Taiwan in the Inter-American Development 
                            Bank.
Sec. 403. Plan for Taiwan's participation in the Inter-American 
                            Development Bank.
Sec. 404. Report concerning member state status for Taiwan at the 
                            Inter-American Development Bank.
Sec. 405. Clarification regarding United Nations General Assembly 
                            Resolution 2758 (XXVI).
  TITLE V--ENHANCED DEVELOPMENT AND ECONOMIC COOPERATION BETWEEN THE 
                        UNITED STATES AND TAIWAN

Sec. 501. Findings.
Sec. 502. Sense of Congress on a free trade agreement with Taiwan, the 
                            Indo-Pacific Economic Framework, and CBP 
                            Preclearance.
 TITLE VI--SUPPORTING UNITED STATES EDUCATIONAL AND EXCHANGE PROGRAMS 
                              WITH TAIWAN

Sec. 601. Short title.
Sec. 602. Findings.
Sec. 603. Purposes.
Sec. 604. Definitions.
Sec. 605. Taiwan Fellowship Program.
Sec. 606. Reports and audits.
Sec. 607. Taiwan fellows on detail from government service.
Sec. 608. Funding.
Sec. 609. Supporting United States educational and exchange programs 
                            with Taiwan.
                  TITLE VII--MISCELLANEOUS PROVISIONS

Sec. 701. Invitation of Taiwanese counterparts to high-level bilateral 
                            and multilateral forums and exercises.
Sec. 702. Report on Taiwan Travel Act.
Sec. 703. Prohibitions against undermining United States policy 
                            regarding Taiwan.
       TITLE VIII--SANCTIONS MEASURES FOR CROSS-STRAIT STABILITY

Sec. 801. Definitions.
Sec. 802. Determinations with respect to activities of the People's 
                            Republic of China impacting Taiwan.
Sec. 803. Imposition of sanctions on officials of the Government of the 
                            People's Republic of China relating to 
                            operations in Taiwan.
Sec. 804. Imposition of sanctions with respect to financial 
                            institutions of the People's Republic of 
                            China.
Sec. 805. Imposition of sanctions with respect to provision of 
                            specialized financial messaging services to 
                            sanctioned People's Republic of China 
                            financial institutions.
Sec. 806. Imposition of sanctions with respect to People's Republic of 
                            China extractive industries.
Sec. 807. Additional sanctions.
Sec. 808. Sanctions described.
Sec. 809. Implementation; regulations; penalties.
Sec. 810. Exceptions; waiver.
Sec. 811. Termination.
                     TITLE IX--RULE OF CONSTRUCTION

Sec. 901. Rule of construction.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) Since 1949, the close relationship between the United 
        States and Taiwan has been of enormous benefit to both parties 
        and to the Indo-Pacific region as a whole.
            (2) The Taiwan Relations Act (Public Law 96-8; 22 U.S.C. 
        3301 et seq.) has enabled the people of the United States and 
        the people of Taiwan to maintain a strong and important 
        relationship that promotes regional security, prosperity, and 
        shared democratic values.
            (3) The security of Taiwan and the ability for the people 
        of Taiwan to determine their own future is fundamental to 
        United States interests and values.
            (4) The Taipei Economic and Cultural Representative Office 
        in the United States and the American Institute in Taiwan 
        facilitate critical consular relations that--
                    (A) protect the interests of the people of the 
                United States and the people of Taiwan; and
                    (B) strengthen people-to-people ties.
            (5) Increased engagement between public officials, 
        commercial interests, civil society leaders, and others 
        enhances Taiwanese-American relations and its economic, 
        security, and democratic dimensions.
            (6) Taiwan serves as a critical partner on regional and 
        transnational issues, such as public health, climate change, 
        critical and emerging technologies, cybersecurity, trade, and 
        freedom of navigation.
            (7) Taiwan exemplifies a thriving democracy consisting of 
        more than 23,000,000 people who value their suffrage, free 
        markets, right to due process, freedom of expression, and other 
        individual liberties.
            (8) President Xi Jinping of the People's Republic of China 
        (referred to in this Act as the ``PRC'') continues to repeat 
        his desire to stifle the freedom of Taiwan, as evidenced by his 
        July 2021 proclamation, in which he stated, ``All sons and 
        daughters of China, including compatriots on both sides of the 
        Taiwan Strait, must work together and move forward in 
        solidarity, resolutely smashing any Taiwan independence 
        plots.''.
            (9) As President Xi Jinping concentrates his power in the 
        Chinese Communist Party (referred to in this Act as the 
        ``CCP''), he is escalating the PRC's campaign of coercion and 
        intimidation against Taiwan, as evidenced by--
                    (A) the accelerated preparations made by the PRC 
                and its People's Liberation Army (referred to in this 
                Act as the ``PLA'') for an offensive attack against 
                Taiwan, such as the PLA's January 2022 incursion of 
                nearly 40 fighters, bombers, and other warplanes into 
                Taiwan's air defense identification zone;
                    (B) the PLA's growing offensive preparations in the 
                Taiwan Strait, such as amphibious assault and live-fire 
                exercises and record-scale incursions into Taiwanese 
                air space;
                    (C) the Foreign Ministry's diplomatic efforts to 
                isolate Taiwan, such as abusing its position in 
                international intuitions and multilateral fora to 
                exclude Taiwanese participation despite Taiwan's 
                demonstrated expertise in relevant subjects, such as 
                public health;
                    (D) threats and actions to compromise Taiwan's 
                economy and critical suppliers, such as draconian 
                export controls and the ``31 Measures'' intended to 
                lure Taiwanese talent to mainland China and away from 
                Taiwan;
                    (E) persistent and targeted cyberattacks, numbering 
                nearly 20,000,000 per month, which are intended to 
                compromise Taiwan's critical infrastructure and inflict 
                civilian harm; and
                    (F) political and economic pressure on other 
                countries who seek closer ties with Taiwan, such as 
                recent export controls related to Lithuania after 
                Lithuania announced a permanent Taiwanese 
                Representative Office in Lithuania.
            (10) On multiple occasions, through both formal and 
        informal channels, the United States has expressed its concern 
        for the PRC's destabilizing activities in the Taiwan Strait and 
        on the international stage that aim to subvert Taiwan's 
        democratic intuitions.
            (11) The Indo-Pacific Strategy of the United States--
                    (A) identifies Taiwan as an important leading 
                regional partner;
                    (B) seeks to bolster Taiwan's self-defense 
                capabilities; and
                    (C) reaffirms that Taiwan's future must be 
                determined peacefully and in accordance with the wishes 
                and best interests of the people of Taiwan.
            (12) The PRC considers stifling the freedom of Taiwan as a 
        critical and necessary step to displacing the United States as 
        the preeminent military power in the Indo-Pacific and continues 
        its modernization campaign to enhance the power-projection 
        capabilities of the PLA and its ability to conduct joint 
        operations.
            (13) Taiwan maintains a modern, ready, self-defense force 
        that adheres to the highest democratic principles and benefits 
        from continued state of the art security assistance.
            (14) It is a vital national security interest of the United 
        States to defend Taiwan for the purposes of--
                    (A) mitigating the PLA's ability to project power 
                and establish contested zones within the First and 
                Second Island Chains and limiting the PLA's freedom of 
                maneuver to conduct unconstrained power projection 
                capabilities beyond the First Island Chain in order to 
                protect United States territory, such as Hawaii and 
                Guam;
                    (B) defending the territorial integrity of Indo-
                Pacific allies, such as Japan;
                    (C) deterring other countries and competitors from 
                exercising force as a means to revise the established 
                status quo;
                    (D) championing democratic institutions and 
                societies in the Indo-Pacific region and throughout the 
                world; and
                    (E) maintaining a rules-based international order 
                that--
                            (i) constrains authoritarian powers;
                            (ii) enshrines collective security;
                            (iii) promotes democracy and respect for 
                        human rights and fundamental freedoms; and
                            (iv) promotes peace and prosperity.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Appropriate committees of congress.--Except as 
        otherwise provided in this Act, the term ``appropriate 
        committees of Congress'' means--
                    (A) the Committee on Foreign Relations of the 
                Senate;
                    (B) the Committee on Armed Services of the Senate;
                    (C) the Committee on Appropriations of the Senate;
                    (D) the Committee on Foreign Affairs of the House 
                of Representatives;
                    (E) the Committee on Armed Services of the House of 
                Representatives; and
                    (F) the Committee on Appropriations of the House of 
                Representatives.
            (2) Counter intervention capabilities.--The term ``counter 
        intervention capabilities'' includes, in such quantities as the 
        Secretary of State, in consultation with the Secretary of 
        Defense, determines to be necessary to achieve the purpose 
        described in section 204(c)--
                    (A) mobile, ground-based coastal defense cruise 
                missiles and launchers;
                    (B) mobile, ground-based short-range and medium-
                range air defense systems;
                    (C) smart, self-propelled naval mines and coastal 
                minelaying platforms;
                    (D) missile boats and fast-attack craft equipped 
                with anti-ship and anti-landing craft missiles;
                    (E) manned and unmanned aerial and other mobile, 
                resilient surveillance systems to support coastal and 
                air defense operations;
                    (F) equipment to support target location, tracking, 
                identification, and targeting, especially at the local 
                level, in communications degraded or denied 
                environments;
                    (G) man-portable anti-armor weapons, mortars, and 
                small arms for ground combat operations;
                    (H) equipment and technical assistance for the 
                purpose of developing civil defense forces, composed of 
                civilian volunteers and militia;
                    (I) training and equipment, including appropriate 
                war reserves, required for Taiwan forces to 
                independently maintain, sustain, and employ the 
                capabilities described in subparagraphs (A) through 
                (H);
                    (J) concept development for coastal defense, air 
                defense, decentralized command and control, civil 
                defense, logistics, planning, and other critical 
                military functions, with an emphasis on operations in a 
                communications degraded or denied environment; and
                    (K) any other capability that the Secretary of 
                State, in consultation with the Secretary of Defense, 
                considers appropriate for the purpose described in 
                section 204(d).
            (3) Republic of china.--The term ``Republic of China'' 
        means the East Asia island country commonly known as 
        ``Taiwan''.
            (4) Sharp power.--The term ``sharp power'' means the 
        coordinated and often concealed application of disinformation, 
        media manipulation, economic coercion, cyber-intrusions, 
        targeted investments, and academic censorship that is 
        intended--
                    (A) to corrupt political and nongovernmental 
                institutions and interfere in democratic elections and 
                encourage self-censorship of views at odds with those 
                of the Government of the People's Republic of China or 
                the Chinese Communist Party; or
                    (B) to foster attitudes, behavior, decisions, or 
                outcomes in Taiwan and elsewhere that support the 
                interests of the Government of the People's Republic of 
                China or the Chinese Communist Party.

              TITLE I--UNITED STATES POLICY TOWARD TAIWAN

SEC. 101. DECLARATION OF POLICY.

    It is the policy of the United States--
            (1) to support the security of Taiwan, the stability of 
        cross-Strait relations, and the freedom of the people of Taiwan 
        to determine their own future and to strenuously oppose any 
        action by the PRC to use force to change the status quo of 
        Taiwan;
            (2) to cooperate with Taiwan as an important partner of the 
        United States in promoting a free and open Indo-Pacific;
            (3) to deter the use of force by the PRC to change the 
        status quo of Taiwan by coordinating with allies and partners 
        to identify and develop significant economic, diplomatic, and 
        other measures that will deter and impose costs on any such use 
        of force and support and cooperate with Taiwan to implement, 
        resource, and modernize its military capabilities, including an 
        asymmetric defense strategy, through security assistance and 
        increases in defense spending;
            (4) to strengthen cooperation with the military of Taiwan 
        under the framework of the Taiwan Relations Act (Public Law 96-
        8; 22 U.S.C. 3301 et seq.) and the Six Assurances, with 
        consideration of the ongoing military buildup in China and the 
        imbalance in the security environment in the Taiwan Strait, and 
        to transfer defense articles to Taiwan to enhance its 
        capabilities, including its efforts to undertake defensive 
        operations, such as undersea warfare and air defense 
        capabilities, and maintain the ability to deny PRC coercion and 
        invasion;
            (5) to urge Taiwan to increase its own investments in 
        military capabilities, including those that support the 
        implementation of an asymmetric defense strategy;
            (6) to advance and finalize key provisions of the United 
        States-Taiwan Trade and Investment Framework Agreement and 
        deepen economic ties between the United States and Taiwan and 
        advance the interests of the United States by negotiating a 
        bilateral free trade agreement as soon as possible that will 
        include appropriate levels of labor rights and environmental 
        protections;
            (7) to include Taiwan as a partner in the Indo-Pacific 
        Economic Framework;
            (8) to welcome Taiwan's meaningful participation in 
        important international organizations, including organizations 
        that address global health, civilian air safety, and efforts to 
        counter transnational crime and bilateral and multilateral 
        security summits, military exercises, and economic dialogues 
        and forums;
            (9) to support the Government of Taiwan as a representative 
        democratic government, constituted through free and fair 
        elections that reflect the will of the people of Taiwan and 
        promote dignity and respect for the democratically elected 
        leaders of Taiwan, who represent more than 23,000,000 citizens, 
        by using the full range of diplomatic and financial tools 
        available to promote Taiwan's international space;
            (10) to ensure that distinctions in practice regarding 
        relations with Taiwan are consistent with the longstanding, 
        comprehensive, strategic, and values-based relationship the 
        United States shares with Taiwan, and contribute to the 
        peaceful resolution of cross-Strait issues; and
            (11) to create and execute a plan for enhancing our 
        relationship with Taiwan by forming a robust partnership that--
                    (A) meets the challenges of the 21st century;
                    (B) fully accounts for Taiwan's democratic status; 
                and
                    (C) remains faithful to United States principles 
                and values, consistent with the Taiwan Relations Act 
                and the Six Assurances.

SEC. 102. TREATMENT OF THE GOVERNMENT OF TAIWAN.

    (a) In General.--The Secretary of State and other Federal 
departments and agencies shall--
            (1) engage with the democratically elected government of 
        Taiwan as the legitimate representative of the people of 
        Taiwan; and
            (2) end the outdated practice of referring to the 
        government in Taiwan as the ``Taiwan authorities''.
    (b) No Restrictions on Bilateral Interactions.--Notwithstanding the 
continued supporting role of the American Institute in Taiwan in 
carrying out United States foreign policy and protecting United States 
interests in Taiwan, the United States Government shall not place any 
undue restrictions on the ability of officials of the Department of 
State or other Federal departments and agencies to interact directly 
and routinely with their counterparts in the Government of Taiwan.

SEC. 103. TAIWAN SYMBOLS OF SOVEREIGNTY.

    (a) Defined Term.--In this section, the term ``official purposes'' 
means--
            (1) the wearing of official uniforms;
            (2) conducting government-hosted ceremonies or functions; 
        and
            (3) appearances on Department of State social media 
        accounts promoting engagements with Taiwan.
    (b) In General.--Not later than 90 days after the date of the 
enactment of this Act, the Secretary of State shall rescind any contact 
guideline, internal restriction, section of the Foreign Affairs Manual 
or the Foreign Affairs Handbook, or related guidance or policies that, 
explicitly or implicitly, including through restrictions or limitations 
on activities of United States Government personnel, limits the ability 
of members of the armed forces of the Republic of China (Taiwan) and 
government representatives from the Taipei Economic and Cultural 
Representative Office to display, for official purposes, symbols of 
Republic of China sovereignty, including--
            (1) the flag of the Republic of China (Taiwan); and
            (2) the corresponding emblems or insignia of military 
        units.

SEC. 104. DESIGNATION AND REFERENCES TO TAIWAN REPRESENTATIVE OFFICE.

    (a) Statement of Policy.--It shall be the policy of the United 
States, consistent with the Taiwan Relations Act (Public Law 96-8; 22 
U.S.C. 3301 et seq.) and the Six Assurances--
            (1) to provide the people of Taiwan with de facto 
        diplomatic treatment equivalent to foreign countries, nations, 
        states, governments, or similar entities; and
            (2) to rename the ``Taipei Economic and Cultural 
        Representative Office'' in the United States as the ``Taiwan 
        Representative Office''.
    (b) Renaming.--The Secretary of State shall seek to enter into 
negotiations with the Taipei Economic and Cultural Representative 
Office to rename its office in Washington, DC, the ``Taiwan 
Representative Office''.
    (c) References.--If the negotiations under subsection (b) results 
in the renaming of the Taipei Economic and Cultural Representative 
Office as the Taiwan Representative Office, any reference in a law, 
map, regulation, document, paper, or other record of the United States 
Government to the Taipei Economic and Cultural Representative Office 
shall be deemed to be a reference to the Taiwan Representative Office, 
including for all official purposes of the United States Government, 
all courts of the United States, and any proceedings by such Government 
or in such courts.

SEC. 105. SENATE CONFIRMATION OF THE DIRECTOR OF THE TAIPEI OFFICE OF 
              THE AMERICAN INSTITUTE IN TAIWAN.

    The appointment of an individual to the position of Director of the 
American Institute in Taiwan's Taipei office shall be subject to the 
advice and consent of the Senate. Upon Senate confirmation, such 
individual shall have the title of Representative.

TITLE II--IMPLEMENTATION OF AN ENHANCED DEFENSE PARTNERSHIP BETWEEN THE 
                        UNITED STATES AND TAIWAN

SEC. 201. AMENDMENTS TO THE TAIWAN RELATIONS ACT.

    (a) Declaration of Policy.--Section 2(b) of the Taiwan Relations 
Act (22 U.S.C. 3301(b)) is amended--
            (1) in paragraph (5), by inserting ``and arms conducive to 
        deterring acts of aggression by the People's Liberation Army'' 
        after ``arms of a defensive character''; and
            (2) in paragraph (6), by striking ``to maintain the 
        capacity of the United States''.
    (b) Provision of Defense Articles and Services.--Section 3(a) of 
the Taiwan Relations Act (22 U.S.C. 3302(a)) is amended by striking 
``to maintain a sufficient self-defense capability'' and inserting ``to 
implement a strategy to deny and deter acts of coercion or aggression 
by the People's Liberation Army''.
    (c) Rule of Construction.--Section 4 of the Taiwan Relations Act 
(22 U.S.C. 3303) is amended by adding at the end the following:
    ``(e) Rule of Construction.--Nothing in this Act, nor the 
President's action in extending diplomatic recognition to the People's 
Republic of China, nor the absence of diplomatic relations between the 
people of Taiwan and the United States, and nor the lack of formal 
recognition of Taiwan by the United States, and any related 
circumstances, may be construed to constitute a legal or practical 
obstacle to any otherwise lawful action of the President or of any 
United States Government agency that is needed to advance or protect 
United States interests pertaining to Taiwan, including actions 
intended to strengthen security cooperation between the United States 
and Taiwan or to otherwise deter the use of force against Taiwan by the 
People's Liberation Army.''.

SEC. 202. ANTICIPATORY PLANNING AND ANNUAL REVIEW OF THE UNITED STATES 
              STRATEGY TO DEFEND TAIWAN.

    (a) In General.--Not later than 180 days after the date of the 
enactment of this Act, and annually thereafter for 10 years, the 
Secretary of Defense shall--
            (1) conduct a classified review of the United States 
        strategy to defend Taiwan; and
            (2) share the results of such review with the Chairman and 
        Ranking Member of the appropriate committees of Congress.
    (b) Elements.--The review conducted pursuant to subsection (a) 
shall include--
            (1) an assessment of Taiwan's current and near-term 
        capabilities, United States force readiness, and the adequacy 
        of the United States strategy to enable the defense of Taiwan;
            (2) a detailed strategy of denial to defend Taiwan against 
        aggression by the People's Liberation Army, including an effort 
        to seize and hold the island of Taiwan;
            (3) a comprehensive assessment of risks to the United 
        States and United States interests, including readiness 
        shortfalls that pose strategic risk;
            (4) a review of indicators of the near-term likelihood of 
        the use of force by the People's Liberation Army against 
        Taiwan; and
            (5) a list of military capabilities, including capabilities 
        that enable a strategy of denial, that--
                    (A) would suit the operational environment and 
                allow Taiwan to respond effectively to a variety of 
                contingencies across all potential phases of conflict 
                involving the People's Liberation Army; and
                    (B) would reduce the threat of conflict, thwart an 
                invasion, and mitigate other risks to the United States 
                and Taiwan.

SEC. 203. JOINT ASSESSMENT.

    (a) In General.--The Secretary of State, in consultation with the 
Secretary of Defense, shall establish a mechanism with Taiwan--
            (1) to develop a joint assessment of the threats Taiwan 
        faces from the People's Republic of China across the spectrum 
        of possible military action; and
            (2) to identify nonmaterial and material solutions to deter 
        and defeat such threats.
    (b) Integrated Priorities List.--In carrying out subsection (a), 
the Secretary of Defense, in consultation with the Secretary of State, 
shall develop with Taiwan--
            (1) an integrated priorities list;
            (2) relevant plans for acquisition and training for 
        relevant nonmaterial and material solutions; and
            (3) other measures to appropriately prioritize the defense 
        needs of Taiwan to maintain effective deterrence across the 
        spectrum of possible military action by the People's Republic 
        of China.
    (c) Report.--Not later than 180 days after the date of the 
enactment of this Act, the Secretary of Defense, in consultation with 
the Secretary of State, shall submit a report to the appropriate 
committees of Congress that describes the joint assessment developed 
pursuant to subsection (a)(1).

SEC. 204. TAIWAN SECURITY ASSISTANCE INITIATIVE.

    (a) Taiwan Security Programs.--The Secretary of State, in 
consultation with the Secretary of Defense, shall establish an 
initiative, to be known as the ``Taiwan Security Assistance 
Initiative'' (referred to in this section as the ``Initiative''), that 
provides a Foreign Military Financing Program for Taiwan and other 
measures to strengthen the United States-Taiwan defense relationship, 
and to accelerate the modernization of Taiwan's defense capabilities 
required to deter or, if necessary, to defeat an invasion of Taiwan by 
the People's Republic of China.
    (b) Annual Report on Advancing the Defense of Taiwan.--
            (1) Appropriate congressional committees defined.--In this 
        subsection, the term ``appropriate congressional committees'' 
        means--
                    (A) the Committee on Foreign Relations of the 
                Senate; and
                    (B) the Committee on Foreign Affairs of the House 
                of Representatives.
            (2) In general.--Not later than 180 days after the date of 
        the enactment of this Act, and annually thereafter for 7 years, 
        the Secretary of State and the Secretary of Defense shall 
        jointly submit a report to the appropriate congressional 
        committees that describes Taiwan's enhancement of its self-
        defense capabilities.
            (3) Matters to be included.--Each report required under 
        paragraph (2) shall include--
                    (A) an assessment of the commitment of Taiwan to 
                implementing the tenets of the Overall Defense Concept, 
                including the steps that Taiwan has taken and the steps 
                that Taiwan has not taken to implement those tenets;
                    (B) an assessment of the efforts of Taiwan to 
                acquire and employ within its forces asymmetric 
                capabilities, including--
                            (i) long-range precision fires;
                            (ii) integrated air and missile defense 
                        systems;
                            (iii) anti-ship cruise missiles;
                            (iv) land-attack cruise missiles;
                            (v) coastal defense;
                            (vi) anti-armor;
                            (vii) undersea warfare;
                            (viii) survivable swarming maritime assets;
                            (ix) manned and unmanned aerial systems;
                            (x) mining and countermining capabilities;
                            (xi) intelligence, surveillance, and 
                        reconnaissance capabilities;
                            (xii) command and control systems; and
                            (xiii) any other defense capabilities that 
                        the United States and Taiwan jointly determine 
                        are crucial to the defense of Taiwan, in 
                        accordance with the process developed pursuant 
                        to section 203(a);
                    (C) an evaluation of the balance between 
                conventional and counter intervention capabilities in 
                the defense force of Taiwan as of the date on which the 
                report is submitted;
                    (D) an assessment of steps taken by Taiwan to 
                enhance the overall readiness of its defense forces, 
                including--
                            (i) the extent to which Taiwan is requiring 
                        and providing regular training to such forces;
                            (ii) the extent to which such training is 
                        realistic to the security environment that 
                        Taiwan faces; and
                            (iii) the sufficiency of the financial and 
                        budgetary resources Taiwan is putting toward 
                        readiness of such forces;
                    (E) an assessment of steps taken by Taiwan to 
                ensure that the Taiwan Reserve Command can recruit, 
                train, and equip its forces;
                    (F) an evaluation of--
                            (i) the severity of manpower shortages in 
                        the military of Taiwan, including in the 
                        reserve forces;
                            (ii) the impact of such shortages in the 
                        event of a conflict scenario; and
                            (iii) the efforts made by Taiwan to address 
                        such shortages;
                    (G) an assessment of the efforts made by Taiwan to 
                boost its civilian defenses, including any 
                informational campaigns to raise awareness among the 
                population of Taiwan of the risks of Taiwan's security 
                environment;
                    (H) an assessment of the efforts made by Taiwan to 
                secure its critical infrastructure, including in 
                transportation, telecommunications networks, and 
                energy;
                    (I) an assessment of the efforts made by Taiwan to 
                enhance its cybersecurity, including the security of 
                civilian government and military networks;
                    (J) an assessment of any significant gaps in any of 
                the matters described in subparagraphs (A) through (I) 
                with respect to which the United States assesses that 
                additional action is needed;
                    (K) a description of cooperative efforts between 
                the United States and Taiwan on the matters described 
                in subparagraphs (A) through (J); and
                    (L) a description of any resistance within the 
                Government of Taiwan to--
                            (i) implementing the matters described in 
                        subparagraphs (A) through (I); or
                            (ii) United States support or engagement 
                        with regard to such matters.
            (4) Form.--The report required under paragraph (2) shall be 
        submitted in classified form, but shall include a detailed 
        unclassified summary.
            (5) Sharing of summary.--The Secretary of State and the 
        Secretary of Defense shall jointly share the unclassified 
        summary required under paragraph (4) with the government and 
        military of Taiwan.
    (c) Authority To Provide Assistance.--The Secretary of State, in 
consultation with the Secretary of Defense, shall use amounts 
appropriated pursuant to subsection (i) to provide assistance to the 
Government of Taiwan to achieve the purpose described in subsection 
(d).
    (d) Purpose.--The purpose of the Foreign Military Financing Program 
shall be to provide assistance, including equipment, training, and 
other support, to enable the Government of Taiwan--
            (1) to accelerate the modernization of its defense 
        capabilities, including for asymmetric operations, that will 
        delay, degrade, and deny attempts by People's Liberation Army 
        forces--
                    (A) to conduct coercive or grey zone activities;
                    (B) to enter or transit the Taiwan Strait and 
                adjoining seas; or
                    (C) to secure a lodgment on Taiwan and expand or 
                otherwise use such lodgment to seize control of a 
                population center or other key territory in Taiwan; and
            (2) to prevent the People's Republic of China from 
        decapitating, seizing control of, or otherwise neutralizing or 
        rendering ineffective the Government of Taiwan.
    (e) War Reserve Stockpile.--Of the amounts appropriated pursuant to 
subsection (i)(2), not more than $100,000,000 may be used during each 
of the fiscal years 2023 through 2032 to maintain a stockpile (if 
established under section 213), in accordance with section 514 of the 
Foreign Assistance Act of 1961 (22 U.S.C. 2321h), as amended by section 
212.
    (f) Availability of Funds.--
            (1) Annual spending plan.--Not later than December 1, 2022, 
        and annually thereafter, the Secretary of State, in 
        coordination with the Secretary of Defense, shall submit a plan 
        to the appropriate committees of Congress describing how funds 
        appropriated pursuant to subsection (i)(2) will be used to 
        achieve the purpose described in subsection (d).
            (2) Certification.--Amounts appropriated for each fiscal 
        year pursuant to subsection (i)(2) shall be made available for 
        the purpose described in such subsection after the Secretary of 
        State certifies to the appropriate committees of Congress that 
        Taiwan has increased its defense spending relative to Taiwan's 
        defense spending in its prior fiscal year, excepting accounts 
        in Taiwan's defense budget related to personnel expenditures 
        (other than military training and education).
            (3) Remaining funds.--
                    (A) In general.--Subject to subparagraph (B), 
                amounts appropriated for a fiscal year pursuant to 
                subsection (i)(2) that are not obligated and expended 
                during such fiscal year shall be added to the amount 
                that may be used for the Initiative in the subsequent 
                fiscal year.
                    (B) Rescission.--Amounts appropriated pursuant to 
                subsection (i)(2) that remain unobligated on September 
                30, 2027, shall be rescinded and deposited into the 
                general fund of the Treasury.
    (g) Defense Articles and Services From the United States Inventory 
and Other Sources.--
            (1) In general.--In addition to assistance provided 
        pursuant to subsection (c), the Secretary of State, in 
        coordination with the Secretary of Defense, may make available 
        to the Government of Taiwan, in such quantities as the 
        Secretary of State considers appropriate for the purpose 
        described in subsection (d)--
                    (A) weapons and other defense articles from the 
                United States inventory and other sources;
                    (B) excess defense articles from the United States 
                inventory; and
                    (C) defense services.
            (2) Replacement.--The Secretary of State may use amounts 
        appropriated pursuant to subsection (i)(2) for the cost of 
        replacing any item provided to the Government of Taiwan 
        pursuant to paragraph (1)(A).
    (h) Foreign Military Financing Loan and Loan Guarantee Authority.--
            (1) Direct loans.--
                    (A) In general.--Notwithstanding section 23(c)(1) 
                of the Arms Export Control Act (22 U.S.C. 2763), during 
                fiscal years 2022 and 2023, the Secretary of State may 
                make direct loans available for Taiwan pursuant to 
                section 23 of such Act.
                    (B) Maximum obligations.--Gross obligations for the 
                principal amounts of loans authorized under 
                subparagraph (A) may not exceed $2,000,000,000.
                    (C) Source of funds.--
                            (i) Defined term.--In this subparagraph, 
                        the term ``cost''--
                                    (I) has the meaning given such term 
                                in section 502(5) of the Congressional 
                                Budget Act of 1974 (2 U.S.C. 661a(5));
                                    (II) shall include the cost of 
                                modifying a loan authorized under 
                                subparagraph (A); and
                                    (III) may include the costs of 
                                selling, reducing, or cancelling any 
                                amounts owed to the United States or to 
                                any agency of the United States.
                            (ii) In general.--Amounts appropriated 
                        pursuant to subsection (i)(1) may be made 
                        available to pay for the cost of loans 
                        authorized under subparagraph (A).
                    (D) Fees authorized.--
                            (i) In general.--The Government of the 
                        United States may charge fees for loans made 
                        pursuant to subparagraph (A), which shall be 
                        collected from borrowers through a financing 
                        account (as defined in section 502(7) of the 
                        Congressional Budget Act of 1974 (2 U.S.C. 
                        661a(7)).
                            (ii) Limitation on fee payments.--Amounts 
                        made available under any appropriations Act for 
                        any fiscal year may not be used to pay any fees 
                        associated with a loan authorized under 
                        subparagraph (A).
                    (E) Repayment.--Loans made pursuant to subparagraph 
                (A) shall be repaid not later than 12 years after the 
                loan is received by the borrower, including a grace 
                period of not more than 1 year on repayment of 
                principal.
                    (F) Interest.--
                            (i) In general.--Notwithstanding section 
                        23(c)(1) of the Arms Export Control Act (22 
                        U.S.C. 2763(c)(1)), interest for loans made 
                        pursuant to subparagraph (A) may be charged at 
                        a rate determined by the Secretary of State, 
                        except that such rate may not be less than the 
                        prevailing interest rate on marketable Treasury 
                        securities of similar maturity.
                            (ii) Treatment of loan amounts used to pay 
                        interest.--Amounts made available under this 
                        paragraph for interest costs shall not be 
                        considered assistance for the purposes of any 
                        statutory limitation on assistance to a 
                        country.
            (2) Loan guarantees.--
                    (A) In general.--Amounts appropriated pursuant to 
                subsection (i)(1) may be made available for the costs 
                of loan guarantees for Taiwan under section 24 of the 
                Arms Export Control Act (22 U.S.C. 2764) for Taiwan to 
                subsidize gross obligations for the principal amount of 
                commercial loans and total loan principal, any part of 
                which may be guaranteed, not to exceed $2,000,000,000.
                    (B) Maximum amounts.--A loan guarantee authorized 
                under subparagraph (A)--
                            (i) may not guarantee a loan that exceeds 
                        $2,000,000,000; and
                            (ii) may not exceed 80 percent of the loan 
                        principal with respect to any single borrower.
                    (C) Subordination.--Any loan guaranteed pursuant to 
                subparagraph (A) may not be subordinated to--
                            (i) another debt contracted by the 
                        borrower; or
                            (ii) any other claims against the borrower 
                        in the case of default.
                    (D) Repayment.--Repayment in United States dollars 
                of any loan guaranteed under this paragraph shall be 
                required not later than 12 years after the loan 
                agreement is signed.
                    (E) Fees.--Notwithstanding section 24 of the Arms 
                Export Control Act (22 U.S.C. 2764), the Government of 
                the United States may charge fees for loan guarantees 
                authorized under subparagraph (A), which shall be 
                collected from borrowers, or from third parties on 
                behalf of such borrowers, through a financing account 
                (as defined in section 502(7) of the Congressional 
                Budget Act of 1974 (2 U.S.C. 661a(7))).
                    (F) Treatments of loan guarantees.--Amounts made 
                available under this paragraph for the costs of loan 
                guarantees authorized under subparagraph (A) shall not 
                be considered assistance for the purposes of any 
                statutory limitation on assistance to a country.
            (3) Notification requirement.--Amounts appropriated to 
        carry out this subsection may not be expended without prior 
        notification of the appropriate committees of Congress.
    (i) Authorization of Appropriations.--
            (1) Foreign military financing program.--There is 
        authorized to be appropriated, under the heading ``Foreign 
        Military Financing Program'', such sums as may be necessary to 
        carry out the program authorized under subsection (c).
            (2) Authorization of appropriations.--In addition to 
        amounts appropriated pursuant to paragraph (1), there is 
        authorized to be appropriated to the Department of State to 
        carry out the Initiative--
                    (A) $250,000,000 for fiscal year 2023;
                    (B) $750,000,000 for fiscal year 2024;
                    (C) $1,500,000,000 for fiscal year 2025; and
                    (D) $2,000,000,000 for fiscal year 2026.
    (j) Sunset Provision.--Assistance may not be provided under this 
section after September 30, 2032.

SEC. 205. REQUIREMENTS REGARDING DEFINITION OF COUNTER INTERVENTION 
              CAPABILITIES.

    (a) Statement of Policy.--It is the policy of the United States--
            (1) to ensure that requests by Taiwan to purchase arms from 
        the United States are not prematurely rejected or dismissed 
        before Taiwan submits a letter of request or other formal 
        documentation, particularly when such requests are for 
        capabilities that are not included on any United States 
        Government priority lists of necessary capabilities for the 
        defense of Taiwan; and
            (2) to ensure close consultation among representatives of 
        Taiwan, Congress, industry, and the Executive branch about 
        requests referred to in paragraph (1) and the needs of Taiwan 
        before Taiwan submits formal requests for such purchases.
    (b) Requirement.--Not later than 45 days after the date of the 
enactment of this Act, the Secretary of State and the Secretary of 
Defense shall jointly submit to the appropriate committees of 
Congress--
            (1) a list of categories of counter intervention 
        capabilities and a justification for each such category; and
            (2) a description of the degree to which the United States 
        has a policy of openness or flexibility for the consideration 
        of capabilities that may not fall within the scope of counter 
        intervention capabilities included in the list required under 
        paragraph (1), due to potential changes, such as--
                    (A) the evolution of defense technologies;
                    (B) the identification of new concepts of operation 
                or ways to employ certain capabilities; and
                    (C) other factors that might change assessments by 
                the United States and Taiwan of what constitutes 
                counter intervention capabilities.

SEC. 206. COMPREHENSIVE TRAINING PROGRAM.

    (a) In General.--The Secretary of State, in consultation with the 
Secretary of Defense, shall establish a comprehensive training program 
with the Government of Taiwan that is designed--
            (1) to achieve interoperability;
            (2) to familiarize the militaries of the United States and 
        Taiwan with each other; and
            (3) to improve Taiwan's defense capabilities.
    (b) Elements.--The training program established pursuant to 
subsection (a) shall include joint United States-Taiwan--
            (1) contingency tabletop exercises;
            (2) war games; and
            (3) robust, operationally relevant, or full-scale military 
        exercises.
    (c) Annual Report.--Not later than 180 days after the date of the 
enactment of this Act, and annually thereafter for the following 10 
years, the Secretary of State, in consultation with the Secretary of 
Defense, shall submit a report to the appropriate committees of 
Congress that describes the establishment and implementation of the 
training program established pursuant to subsection (a).

SEC. 207. MILITARY PLANNING MECHANISM.

    The Secretary of Defense, in consultation with the Secretary of 
State, shall establish a high-level military planning mechanism between 
the United States and Taiwan that--
            (1) is designed to oversee a Joint and Combined Exercise 
        Program and to coordinate International Military Education and 
        Training assistance and professional exchanges aimed at 
        determining and coordinating the acquisition of capabilities 
        for United States and Taiwan military forces to address the 
        needs of currently anticipated and future contingencies; and
            (2) may be modeled after the Joint United States Military 
        Advisory Group Thailand, or any such similar existing 
        arrangement, as determined by the Secretary of Defense.

SEC. 208. ASSESSMENT OF TAIWAN'S NEEDS FOR CIVILIAN DEFENSE AND 
              RESILIENCE.

    (a) Assessment Required.--Not later than 120 days after the date of 
enactment of this Act, the Secretary of State and the Secretary of 
Defense, in consultation with heads of other relevant Federal 
departments and agencies, shall submit a written, classified assessment 
of Taiwan's needs in the areas of civilian defense and resilience to 
the appropriate committees of Congress, the Committee on Appropriations 
of the Senate, and the Committee on Appropriations of the House of 
Representatives.
    (b) Matters To Be Included.--The assessment required under 
subsection (a) shall--
            (1) analyze the potential role of Taiwan's public and 
        civilian assets in defending against various scenarios to 
        coerce or conduct military aggression against Taiwan;
            (2) carefully analyze Taiwan's needs for enhancing its 
        defensive capabilities through the support of civilians and 
        civilian sectors, including--
                    (A) greater utilization of Taiwan's high tech labor 
                force;
                    (B) the creation of clear structures and logistics 
                support for civilian defense role allocation;
                    (C) recruitment and skills training for Taiwan's 
                defense and civilian sectors; and
                    (D) other defense needs and considerations at the 
                provincial, city, and neighborhood levels;
            (3) analyze Taiwan's needs for enhancing resiliency among 
        its people and in key economic sectors; and
            (4) identify the areas and means through which the United 
        States could provide training and assistance to support the 
        needs discovered through the assessment and fill any critical 
        gaps where capacity falls short of such needs.
    (c) Form of Report.--Notwithstanding the classified nature of the 
assessment required under subsection (a), the assessment shall be 
shared with appropriate officials of the Government of Taiwan to 
facilitate cooperation.
    (d) Authorization of Appropriations.--
            (1) In general.--There is authorized to be appropriated to 
        complete the assessment required under subsection (a)--
                    (A) $500,000 for the Department of State; and
                    (B) $500,000 for the Department of Defense.
            (2) Transfer authority.--The Secretary of State and the 
        Secretary of Defense are authorized to transfer any funds 
        appropriated to their respective departments pursuant to 
        paragraph (1) to other Federal departments and agencies for the 
        purposes of facilitating the contributions of such departments 
        and agencies to the assessment required under subsection (a).

SEC. 209. PRIORITIZING EXCESS DEFENSE ARTICLE TRANSFERS FOR TAIWAN.

    (a) Sense of Congress.--It is the sense of Congress that the United 
States Government should appropriately prioritize the review of excess 
defense article transfers to Taiwan.
    (b) Five-Year Plan.--Not later than 90 days after the date of the 
enactment of this Act, the President shall--
            (1) develop a 5-year plan to appropriately prioritize 
        excess defense article transfers to Taiwan; and
            (2) submit a report to the appropriate committees of 
        Congress that describes such plan.
    (c) Required Coordination.--The United States Government shall 
coordinate and align excess defense article transfers with capacity 
building efforts of Taiwan.
    (d) Transfer Authority.--
            (1) In general.--Section 516(c)(2) of the Foreign 
        Assistance Act of 1961 (22 U.S.C. 2321j(c)(2)) is amended by 
        striking ``and to the Philippines'' and inserting ``, to the 
        Philippines, and to Taiwan''.
            (2) Treatment of taiwan.--With respect to the transfer of 
        excess defense articles under section 516(c)(2) of the Foreign 
        Assistance Act of 1961, as amended by paragraph (1), Taiwan 
        shall receive the same benefits as the other countries referred 
        to in such section.

SEC. 210. FAST-TRACKING SALES TO TAIWAN UNDER THE FOREIGN MILITARY 
              SALES PROGRAM.

    (a) Prioritized Processing of Foreign Military Sales Requests From 
Taiwan.--The Secretary of State, in coordination with the Secretary of 
Defense shall appropriately prioritize and expedite the processing of 
requests from Taiwan under the Foreign Military Sales program and may 
not delay the processing of such requests for bundling purposes.
    (b) Annual Report.--Not later than 180 days after the date of the 
enactment of this Act, and annually thereafter for the following 10 
years, the Secretary of State, in coordination with the Secretary of 
Defense, shall submit a report to the appropriate committees of 
Congress that describes the steps that have been taken to carry out 
subsection (a).

SEC. 211. WHOLE-OF-GOVERNMENT DETERRENCE MEASURES TO RESPOND TO THE 
              PEOPLE'S REPUBLIC OF CHINA'S FORCE AGAINST TAIWAN.

    (a) Briefing Required.--Not later than 180 days after the date of 
the enactment of this Act, and annually thereafter for the following 5 
years, the Secretary of State, the Secretary of the Treasury, the 
Secretary of Defense, the Secretary of Commerce, the Director of 
National Intelligence, and any other relevant heads of Federal 
departments and agencies shall provide a detailed briefing to the 
appropriate committees of Congress regarding--
            (1) all available economic, diplomatic, and other strategic 
        measures to deter the use of force by the People's Republic of 
        China, including coercion, grey-zone tactics, assertions, shows 
        of force, quarantines, embargoes, or other measures to change 
        the status quo of Taiwan;
            (2) efforts by the United States Government to deter the 
        use of force by the People's Republic of China to change the 
        status quo of Taiwan; and
            (3) progress to date of all coordination efforts between 
        the United States Government and its allies and partners with 
        respect to deterring the use of force to change the status quo 
        of Taiwan.
    (b) Coordinated Consequences With Allies and Partners.--The 
Secretary of State shall coordinate with United States allies and 
partners to identify and develop significant economic, diplomatic, and 
other measures to deter the use of force by the People's Republic of 
China to change the status quo of Taiwan.

SEC. 212. INCREASE IN ANNUAL WAR RESERVES STOCKPILE ADDITIONS AND 
              SUPPORT FOR TAIWAN.

    (a) In General.--Section 514(b)(2)(A) of the Foreign Assistance Act 
of 1961 (22 U.S.C. 2321j(b)(2)(A)) is amended by striking 
``$200,000,000'' and all that follows and inserting ``$500,000,000 for 
any of the fiscal years 2023, 2024, or 2025.''.
    (b) Establishment.--Subject to section 514 of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2321h), the President may establish a 
war reserve stockpile for Taiwan that consists primarily of munitions.
    (c) Inclusion of Taiwan Among Other Allies Eligible for Defense 
Articles.--Chapter 2 of part II of the Foreign Assistance Act of 1961 
(22 U.S.C. 2311 et seq.) is amended--
            (1) in section 514(c)(2) (22 U.S.C. 2321h(c)(2)), by 
        inserting ``Taiwan,'' after ``Thailand,''; and
            (2) in section 516(c)(2) (22 U.S.C. 2321j(c)(2)), by 
        inserting ``to Taiwan,'' after ``major non-NATO allies on such 
        southern and southeastern flank,''.
    (d) Annual Briefing.--Not later than 1 year after the date of 
enactment of this Act, and annually thereafter for 7 years, the 
President shall provide a briefing to the appropriate committees of 
Congress regarding the status of a war reserve stockpile established 
under subsection (b).

SEC. 213. DESIGNATION OF TAIWAN AS A MAJOR NON-NATO ALLY.

    Section 517 of the Foreign Assistance Act of 1961 (22 U.S.C. 2321k) 
is amended by adding at the end the following:
    ``(c) Additional Designations.--
            ``(1) In general.--Taiwan is designated as a major non-NATO 
        ally for purposes of this Act, the Arms Export Control Act (22 
        U.S.C. 2751 et seq.), and section 2350a of title 10, United 
        States Code.
            ``(2) Notice of termination of designation.--The President 
        shall notify Congress in accordance with subsection (a)(2) 
        before terminating the designation specified in paragraph 
        (1).''.

   TITLE III--COUNTERING PEOPLE'S REPUBLIC OF CHINA'S AGGRESSION AND 
                          INFLUENCE CAMPAIGNS

SEC. 301. STRATEGY TO RESPOND TO INFLUENCE AND INFORMATION OPERATIONS 
              TARGETING TAIWAN.

    (a) In General.--Not later than 180 days after the date of the 
enactment of this Act, the Secretary of State shall develop and 
implement a strategy to respond to--
            (1) the Chinese Communist Party's United Front; and
            (2) information and disinformation campaigns, cyber 
        attacks, and nontraditional propaganda measures supported by 
        the Government of the People's Republic of China and the 
        Chinese Communist Party that are directed toward persons or 
        entities in Taiwan.
    (b) Elements.--The strategy required under subsection (a) shall 
include--
            (1) the development of a response to propaganda and 
        disinformation campaigns by the People's Republic of China and 
        cyber-intrusions targeting Taiwan, including--
                    (A) assistance in building the capacity of the 
                Government of Taiwan and private-sector entities to 
                document and expose propaganda and disinformation 
                supported by the Government of the People's Republic of 
                China, the Chinese Communist Party, or affiliated 
                entities;
                    (B) assistance to enhance the Government of 
                Taiwan's ability to develop a whole-of-government 
                strategy to respond to sharp power operations, 
                including election interference; and
                    (C) media training for Taiwan officials and other 
                Taiwan entities targeted by disinformation campaigns;
            (2) the development of a response to political influence 
        operations that includes an assessment of the extent of 
        influence exerted by the Government of the People's Republic of 
        China and the Chinese Communist Party in Taiwan on local 
        political parties, financial institutions, media organizations, 
        and other entities;
            (3) support for exchanges and other technical assistance to 
        strengthen the Taiwan legal system's ability to respond to 
        sharp power operations; and
            (4) the establishment of a coordinated partnership, through 
        the American Institute in Taiwan's Global Cooperation and 
        Training Framework, with like-minded governments to share data 
        and best practices with the Government of Taiwan regarding ways 
        to address sharp power operations supported by the Government 
        of the People's Republic of China and the Chinese Communist 
        Party.

SEC. 302. STRATEGY TO COUNTER ECONOMIC COERCION BY THE PEOPLE'S 
              REPUBLIC OF CHINA TARGETING COUNTRIES AND ENTITIES THAT 
              SUPPORT TAIWAN.

    (a) In General.--Not later than 90 days after the date of the 
enactment of this Act, and every 180 days thereafter for the following 
5 years, the Secretary of State shall submit to the appropriate 
committees of Congress a description of the strategy being used by the 
Department of State to respond to the Government of the People's 
Republic of China's increased economic coercion against countries which 
have strengthened their ties with, or support for, Taiwan.
    (b) Assistance for Countries and Entities Targeted by the People's 
Republic of China for Economic Coercion.--The Department of State, the 
United States Agency for International Development, the United States 
International Development Finance Corporation, the Department of 
Commerce and the Department of the Treasury shall provide appropriate 
assistance to countries and entities that are subject to trade 
restrictions and other forms of economic coercion by the People's 
Republic of China to support its supply chain resilience and other 
economic measures in response to the trade restrictions imposed by 
China.

      TITLE IV--INCLUSION OF TAIWAN IN INTERNATIONAL ORGANIZATIONS

SEC. 401. PARTICIPATION OF TAIWAN IN INTERNATIONAL ORGANIZATIONS.

    (a) Statement of Policy.--It is the policy of the United States to 
promote Taiwan's inclusion and meaningful participation in meetings 
held by international organizations.
    (b) Support for Meaningful Participation.--The Permanent 
Representative of the United States to the United Nations and other 
relevant United States officials should actively support Taiwan's 
meaningful participation in all appropriate international 
organizations.
    (c) Report.--Not later than 90 days after the date of the enactment 
of this Act, the Secretary of State shall submit a report to the 
appropriate congressional committees that--
            (1) describes the People's Republic of China's efforts at 
        the United Nations and other international bodies to block 
        Taiwan's meaningful participation and inclusion; and
            (2) recommends appropriate responses that should be taken 
        by the United States to carry out the policy described in 
        subsection (a).

SEC. 402. PARTICIPATION OF TAIWAN IN THE INTER-AMERICAN DEVELOPMENT 
              BANK.

    It is the sense of Congress that--
            (1) the United States fully supports Taiwan's participation 
        in, and contribution to, international organizations and 
        understands the importance of the relationship between Taiwan 
        and the United States;
            (2) diversifying the donor base of the Inter-American 
        Development Bank (referred to in this title as the ``IDB'') and 
        increasing ally engagement in the Western Hemisphere reinforces 
        United States national interests;
            (3) Taiwan's significant contribution to the development 
        and economies of Latin America and the Caribbean demonstrate 
        that Taiwan's membership in the IDB as a non-borrowing member 
        would benefit the IDB and the entire Latin American and 
        Caribbean region; and
            (4) non-borrowing membership in the IDB would allow Taiwan 
        to substantially leverage and channel the immense resources 
        Taiwan already provides to Latin America and the Caribbean to 
        reach a larger number of beneficiaries.

SEC. 403. PLAN FOR TAIWAN'S PARTICIPATION IN THE INTER-AMERICAN 
              DEVELOPMENT BANK.

    The Secretary of State, in coordination with the Secretary of the 
Treasury, is authorized--
            (1) to initiate a United States plan to endorse non-
        borrowing IDB membership for Taiwan; and
            (2) to instruct the United States Governor of the IDB to 
        work with the IDB Board of Governors to admit Taiwan as a non-
        borrowing member of the IDB.

SEC. 404. REPORT CONCERNING MEMBER STATE STATUS FOR TAIWAN AT THE 
              INTER-AMERICAN DEVELOPMENT BANK.

    Not later than 90 days after the date of the enactment of this Act, 
and not later than April 1 of each year thereafter, the Secretary of 
State, in coordination with the Secretary of the Treasury, shall submit 
an unclassified report to the Committee on Foreign Relations of the 
Senate and the Committee on Foreign Affairs of the House of 
Representatives that--
            (1) describes the United States plan to endorse and obtain 
        non-borrowing membership status for Taiwan at the IDB;
            (2) includes an account of the efforts made by the 
        Secretary of State and the Secretary of the Treasury to 
        encourage IDB member states to promote Taiwan's bid to obtain 
        non-borrowing membership at the IDB; and
            (3) identifies the steps that the Secretary of State and 
        the Secretary of the Treasury will take to endorse and obtain 
        non-borrowing membership status for Taiwan at the IDB in the 
        following year.

SEC. 405. CLARIFICATION REGARDING UNITED NATIONS GENERAL ASSEMBLY 
              RESOLUTION 2758 (XXVI).

    Section 2(a) of the Taiwan Allies International Protection and 
Enhancement Initiative (TAIPEI) Act of 2019 (Public Law 116-135) 
(relating to diplomatic relations with Taiwan) is amended by adding at 
the end the following:
            ``(10) United Nations General Assembly Resolution 2758 
        (1971)--
                    ``(A) established the representatives of the 
                Government of the People's Republic of China as the 
                only lawful representatives of China to the United 
                Nations;
                    ``(B) did not address the issue of representation 
                of Taiwan and its people in the United Nations or in 
                any related organizations; and
                    ``(C) did not take a position on the relationship 
                between the People's Republic of China and Taiwan or 
                include any statement pertaining to Taiwan's 
                sovereignty.
            ``(11) The United States opposes any initiative that seeks 
        to change Taiwan's status without the consent of the people of 
        Taiwan.''.

  TITLE V--ENHANCED DEVELOPMENT AND ECONOMIC COOPERATION BETWEEN THE 
                        UNITED STATES AND TAIWAN

SEC. 501. FINDINGS.

    Congress makes the following findings:
            (1) Taiwan has been an important trading partner of the 
        United States for many years, accounting for $114,000,000,000 
        in two-way trade in 2021.
            (2) Taiwan has demonstrated the capacity to hold a strong 
        economic partnership with the United States. Along with a 
        robust trading profile of goods and services, Taiwan supports 
        an estimated 208,000 American jobs, a number that will only 
        increase with a comprehensive bilateral trade agreement.
            (3) In addition to supplementing United States goods and 
        services, Taiwan is a reliable partner in many of our Nation's 
        industries, which is not only critical for diversifying our 
        Nation's supply chains, but is also essential to reducing our 
        Nation's reliance on other countries, such as China, who seek 
        to leverage supply chain inefficiencies in their path to 
        regional and global dominance. Such diversification of our 
        Nation's supply chain is critical to United States national 
        security.
            (4) The challenges to establishing an agreement with 
        Taiwan, such as reaching an agreement on agricultural 
        standards, will not prevent the completion of a bilateral trade 
        agreement. Taiwan has already taken steps to further the 
        progress towards such an agreement by announcing its intent to 
        lift their restrictions on United States pork and beef 
        products, which will greatly increase the accessibility of 
        American farmers and ranchers to Taiwan markets. In light of 
        this important development, the United States should 
        immediately move forward with substantial negotiations for a 
        comprehensive bilateral trade agreement with Taiwan.
            (5) A free and open Indo-Pacific is a goal that needs to be 
        actively pursued to counter China's use of unfair trading 
        practices and other policies to advance its economic dominance 
        in the Indo-Pacific region. An agreement with Taiwan would--
                    (A) help the United States accomplish this goal by 
                building a network of like-minded governments dedicated 
                to fair competition and open markets that are free from 
                government manipulation; and
                    (B) serve as a signal to other nations that Taiwan 
                is a viable partner that is open for business.
            (6) Since November 2020, Taiwan and the United States have 
        engaged in the U.S.-Taiwan Economic Prosperity Partnership 
        Dialogue, covering a broad range of economic issues including--
                    (A) 5G networks and telecommunications security;
                    (B) supply chains resiliency;
                    (C) infrastructure cooperation;
                    (D) renewable energy;
                    (E) global heath; and
                    (F) science and technology.
            (7) A trade agreement between the United States and Taiwan 
        would promote security and economic growth for the United 
        States, Taiwan, and the entire Indo-Pacific region.
            (8) Leaving Taiwan out of the conversation on Indo-Pacific 
        Economic Framework would--
                    (A) create significant distortions for the 
                structure of the regional and global economic 
                architecture; and
                    (B) run counter to the United States economic 
                interests.

SEC. 502. SENSE OF CONGRESS ON A FREE TRADE AGREEMENT WITH TAIWAN, THE 
              INDO-PACIFIC ECONOMIC FRAMEWORK, AND CBP PRECLEARANCE.

    It is the sense of Congress that--
            (1) the United States Trade Representative should resume 
        meetings under the United States and Taiwan Trade and 
        Investment Framework Agreement with the goal of reaching a 
        bilateral free trade agreement with Taiwan;
            (2) the United States Trade Representative and the 
        Secretary of Commerce should undertake efforts to assure 
        Taiwan's engagement and participation in the Indo-Pacific 
        Economic Framework; and
            (3) the United States should utilize and expand 
        Preclearance programs to meet the needs of the United States 
        travel and tourism industry, including by prioritizing the 
        establishment of Preclearance facilities with Indo-Pacific 
        allies and partners, including Taiwan.

 TITLE VI--SUPPORTING UNITED STATES EDUCATIONAL AND EXCHANGE PROGRAMS 
                              WITH TAIWAN

SEC. 601. SHORT TITLE.

    This title may be cited as the ``Taiwan Fellowship Act''.

SEC. 602. FINDINGS.

    Congress makes the following findings:
            (1) The Taiwan Relations Act (Public Law 96-8; 22 U.S.C. 
        3301 et seq.) affirmed United States policy ``to preserve and 
        promote extensive, close, and friendly commercial, cultural, 
        and other relations between the people of the United States and 
        the people on Taiwan, as well as the people on the China 
        mainland and all other peoples of the Western Pacific area''.
            (2) Consistent with the Asia Reassurance Initiative Act of 
        2018 (Public Law 115-409), the United States has grown its 
        strategic partnership with Taiwan's vibrant democracy of 
        23,000,000 people.
            (3) Despite a concerted campaign by the People's Republic 
        of China to isolate Taiwan from its diplomatic partners and 
        from international organizations, including the World Health 
        Organization, Taiwan has emerged as a global leader in the 
        coronavirus global pandemic response, including by donating 
        more than 2,000,000 surgical masks and other medical equipment 
        to the United States.
            (4) The creation of a United States fellowship program with 
        Taiwan would support a key priority of expanding people-to-
        people exchanges, which was outlined in the President's 2017 
        National Security Strategy.

SEC. 603. PURPOSES.

    The purposes of this title are--
            (1) to further strengthen the United States-Taiwan 
        strategic partnership and broaden understanding of the Indo-
        Pacific region by temporarily assigning officials of any branch 
        of the United States Government to Taiwan for intensive study 
        in Mandarin and placement as Fellows with the governing 
        authorities on Taiwan or a Taiwanese civic institution;
            (2) to provide for eligible United States personnel--
                    (A) to learn or strengthen Mandarin Chinese 
                language skills; and
                    (B) to expand their understanding of the political 
                economy of Taiwan and the Indo-Pacific region; and
            (3) to better position the United States to advance its 
        economic, security, and human rights interests and values in 
        the Indo-Pacific region.

SEC. 604. DEFINITIONS.

    In this title:
            (1) Agency head.--The term ``agency head'' means--
                    (A) with respect to the executive branch of United 
                States Government or an agency of the legislative 
                branch other than the Senate or the House of 
                Representatives, the head of the respective agency;
                    (B) with respect to the judicial branch of United 
                States Government, the chief judge of the respective 
                court;
                    (C) with respect to the Senate, the President pro 
                tempore, in consultation with the majority leader and 
                the minority leader of the Senate; and
                    (D) with respect to the House of Representatives, 
                the Speaker of the House, in consultation with the 
                majority leader and the minority leader of the House of 
                Representatives.
            (2) Agency of the united states government.--The term 
        ``agency of the United States Government'' includes--
                    (A) any agency of the legislative branch;
                    (B) any court of the judicial branch; and
                    (C) any agency of the executive branch.
            (3) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on Foreign Relations of the 
                Senate;
                    (B) the Committee on Appropriations of the Senate;
                    (C) the Committee on Foreign Affairs of the House 
                of Representatives; and
                    (D) the Committee on Appropriations of the House of 
                Representatives.
            (4) Detailee.--The term ``detailee''--
                    (A) means an employee of a branch of the United 
                States Government who is on loan to the American 
                Institute in Taiwan, without a change of position from 
                the agency at which he or she is employed; and
                    (B) does not include employees of the legislative 
                branch, who may separate from their branch in order to 
                fulfill the terms of their fellowship pursuant to 
                section 607(g).
            (5) Implementing partner.--The term ``implementing 
        partner'' means any United States organization described in 
        501(c)(3) of the Internal Revenue Code of 1986 that--
                    (A) performs logistical, administrative, and other 
                functions, as determined by the Department of State and 
                the American Institute of Taiwan in support of the 
                Taiwan Fellowship Program; and
                    (B) enters into a cooperative agreement with the 
                American Institute in Taiwan to administer the Taiwan 
                Fellowship Program.
            (6) Program.--The term ``Program'' means the Taiwan 
        Fellowship Program established pursuant to section 605.

SEC. 605. TAIWAN FELLOWSHIP PROGRAM.

    (a) Establishment.--The Secretary of State--
            (1) shall establish the Taiwan Fellowship Program to 
        provide eligible United States citizens with fellowship 
        opportunities in Taiwan lasting up to 2 years; and
            (2) may modify the name of the Program, in consultation 
        with the American Institute in Taiwan and the implementing 
        partner.
    (b) Grants.--
            (1) In general.--The American Institute in Taiwan should 
        use amounts appropriated pursuant to section 608(a) to provide 
        annual or multi-year grants to an appropriate implementing 
        partner.
            (2) Fellowships.--The Secretary of State, in consultation 
        with the American Institute in Taiwan and, as appropriate, the 
        implementing partner, subject to available funding, should 
        award to eligible United States citizens--
                    (A) not fewer than 5 fellowships during each of the 
                first 2 years of the Program; and
                    (B) not fewer than 10 fellowships during each of 
                the remaining years of the Program.
    (c) International Agreement; Implementing Partner.--Not later than 
30 days after the date of the enactment of this Act, the American 
Institute in Taiwan, in consultation with the Secretary of State, 
should--
            (1) begin negotiations with the Taipei Economic and 
        Cultural Representative Office, or with another appropriate 
        entity, for the purpose of entering into an agreement to 
        facilitate the placement of fellows in an agency of the 
        governing authorities on Taiwan; and
            (2) begin the process of selecting an implementing partner, 
        which--
                    (A) shall agree to meet all of the legal 
                requirements required to operate in Taiwan; and
                    (B) shall be composed of staff who demonstrate 
                significant experience managing exchange programs in 
                the Indo-Pacific region.
    (d) Curriculum.--
            (1) First year.--During the first year of each fellowship 
        under this section, each fellow should study--
                    (A) the Mandarin Chinese language;
                    (B) the people, history, and political climate on 
                Taiwan; and
                    (C) the issues affecting the relationship between 
                the United States and the Indo-Pacific region.
            (2) Second year.--During the second year of each fellowship 
        under this section, each fellow, subject to the approval of the 
        Secretary of State, the American Institute in Taiwan, and the 
        implementing partner, and in accordance with the purposes of 
        this title, shall work in--
                    (A) a parliamentary office, ministry, or other 
                agency of the governing authorities on Taiwan; or
                    (B) an organization outside of the governing 
                authorities on Taiwan, whose interests are associated 
                with the interests of the fellow and the agency of the 
                United States Government from which the fellow had been 
                employed.
    (e) Flexible Fellowship Duration.--Notwithstanding any requirement 
under this section, the Secretary of State, in consultation with the 
American Institute in Taiwan and, as appropriate, the implementing 
partner, may alter the curriculum requirements under subsection (d) for 
fellows whose placement in a parliamentary office, ministry, or other 
agency of the governing authorities on Taiwan is for a period shorter 
than 2 years.
    (f) Program Requirements.--
            (1) Eligibility requirements.--A United States citizen is 
        eligible for a fellowship under this section if he or she--
                    (A) is an employee of the United States Government;
                    (B) has at least 2 years of experience in any 
                branch of the United States Government;
                    (C) has a demonstrated professional or educational 
                background in the relationship between the United 
                States and countries in the Indo-Pacific region; and
                    (D) has demonstrated his or her commitment to 
                further service in the United States Government.
            (2) Responsibilities of fellows.--Each recipient of a 
        fellowship under this section shall agree, as a condition of 
        such fellowship--
                    (A) to maintain satisfactory progress in language 
                training and appropriate behavior in Taiwan, as 
                determined by the Department of State, the American 
                Institute in Taiwan and, as appropriate, its 
                implementing partner;
                    (B) to refrain from engaging in any intelligence or 
                intelligence-related activity on behalf of the United 
                States Government; and
                    (C) to continue Federal Government employment for a 
                period of not shorter than 4 years after the conclusion 
                of the fellowship or for not shorter than 2 years for a 
                fellowship that is 1 year or shorter.
            (3) Responsibilities of implementing partner.--
                    (A) Selection of fellows.--The implementing 
                partner, in close coordination with the Department of 
                State and the American Institute in Taiwan, shall--
                            (i) make efforts to recruit fellowship 
                        candidates who reflect the diversity of the 
                        United States;
                            (ii) select fellows for the Taiwan 
                        Fellowship Program based solely on merit, with 
                        appropriate supervision from the Department of 
                        State and the American Institute in Taiwan; and
                            (iii) prioritize the selection of 
                        candidates willing to serve a fellowship 
                        lasting 1 year or longer.
                    (B) First year.--The implementing partner should 
                provide each fellow in the first year (or shorter 
                duration, as jointly determined by the Department of 
                State and the American Institute in Taiwan for those 
                who are not serving a 2-year fellowship) with--
                            (i) intensive Mandarin Chinese language 
                        training; and
                            (ii) courses in the political economy of 
                        Taiwan, China, and the broader Indo-Pacific.
                    (C) Waiver of required training.--The Department of 
                State, in coordination with the American Institute in 
                Taiwan and, as appropriate, the implementing partner, 
                may waive any of the training required under paragraph 
                (2) to the extent that a fellow has Mandarin language 
                skills, knowledge of the topic described in paragraph 
                (2)(B), or for other related reasons approved by the 
                Department of State and the American Institute in 
                Taiwan. If any of the training requirements are waived 
                for a fellow serving a 2-year fellowship, the training 
                portion of his or her fellowship may be shortened to 
                the extent appropriate.
                    (D) Office; staffing.--The implementing partner, in 
                consultation with the Department of State and the 
                American Institute in Taiwan, shall maintain an office 
                and at least 1 full-time staff member in Taiwan--
                            (i) to liaise with the American Institute 
                        in Taiwan and the governing authorities on 
                        Taiwan; and
                            (ii) to serve as the primary in-country 
                        point of contact for the recipients of 
                        fellowships under this Act and their 
                        dependents.
                    (E) Other functions.--The implementing partner 
                shall perform other functions in association in support 
                of the Taiwan Fellowship Program, including logistical 
                and administrative functions, as prescribed by the 
                Department of State and the American Institute in 
                Taiwan.
            (4) Noncompliance.--
                    (A) In general.--Any fellow who fails to comply 
                with the requirements under this section shall 
                reimburse the American Institute in Taiwan for--
                            (i) the Federal funds expended for the 
                        fellow's participation in the fellowship, as 
                        set forth in paragraphs (2) and (3); and
                            (ii) interest accrued on such funds 
                        (calculated at the prevailing rate).
                    (B) Full reimbursement.--Any fellow who violates 
                paragraph (1) or (2) of subsection (b) shall reimburse 
                the American Institute in Taiwan in an amount equal to 
                the sum of--
                            (i) all of the Federal funds expended for 
                        the fellow's participation in the fellowship; 
                        and
                            (ii) interest on the amount specified in 
                        subparagraph (A), which shall be calculated at 
                        the prevailing rate.
                    (C) Pro rata reimbursement.--Any fellow who 
                violates subsection (b)(3) shall reimburse the American 
                Institute in Taiwan in an amount equal to the 
                difference between--
                            (i) the amount specified in paragraph (2); 
                        and
                            (ii) the product of--
                                    (I) the amount the fellow received 
                                in compensation during the final year 
                                of the fellowship, including the value 
                                of any allowances and benefits received 
                                by the fellow; multiplied by
                                    (II) the percentage of the period 
                                specified in subsection (b)(3) during 
                                which the fellow did not remain 
                                employed by the Federal Government.

SEC. 606. REPORTS AND AUDITS.

    (a) Annual Report.--Not later than 90 days after the selection of 
the first class of fellows under this title, and annually thereafter, 
the Department of State shall offer to brief the appropriate 
congressional committees regarding the following issues:
            (1) An assessment of the performance of the implementing 
        partner in fulfilling the purposes of this Act.
            (2) The names and sponsoring agencies of the fellows 
        selected by the implementing partner and the extent to which 
        such fellows represent the diversity of the United States.
            (3) The names of the parliamentary offices, ministries, 
        other agencies of the governing authorities on Taiwan, and 
        nongovernmental institutions to which each fellow was assigned 
        during the second year of the fellowship.
            (4) Any recommendations, as appropriate, to improve the 
        implementation of the Taiwan Fellows Program, including added 
        flexibilities in the administration of the program.
            (5) An assessment of the Taiwan Fellows Program's value 
        upon the relationship between the United States and Taiwan or 
        the United States and Asian countries.
    (b) Annual Financial Audit.--
            (1) In general.--The financial records of any implementing 
        partner shall be audited annually in accordance with generally 
        accepted auditing standards by independent certified public 
        accountants or independent licensed public accountants who are 
        certified or licensed by a regulatory authority of a State or 
        another political subdivision of the United States.
            (2) Location.--Each audit under paragraph (1) shall be 
        conducted at the place or places where the financial records of 
        the implementing partner are normally kept.
            (3) Access to documents.--The implementing partner shall 
        make available to the accountants conducting an audit under 
        paragraph (1)--
                    (A) all books, financial records, files, other 
                papers, things, and property belonging to, or in use 
                by, the implementing partner that are necessary to 
                facilitate the audit; and
                    (B) full facilities for verifying transactions with 
                the balances or securities held by depositories, fiscal 
                agents, and custodians.
            (4) Report.--
                    (A) In general.--Not later than 6 months after the 
                end of each fiscal year, the implementing partner shall 
                provide a report containing the findings of the audit 
                conducted for such fiscal year pursuant to paragraph 
                (1) to the Secretary of State and the American 
                Institute in Taiwan.
                    (B) Contents.--Each audit report under subparagraph 
                (A) shall--
                            (i) set forth the scope of the audit;
                            (ii) include such statements, along with 
                        the auditor's opinion of those statements, as 
                        may be necessary to present fairly the 
                        implementing partner's assets and liabilities, 
                        surplus or deficit, with reasonable detail;
                            (iii) include a statement of the 
                        implementing partner's income and expenses 
                        during the year; and
                            (iv) include a schedule of--
                                    (I) all contracts and grants 
                                requiring payments greater than $5,000; 
                                and
                                    (II) any payments of compensation, 
                                salaries, or fees at a rate greater 
                                than $5,000 per year.
                    (C) Copies.--Each audit report under subparagraph 
                (A) shall be produced in sufficient copies for 
                distribution to the public.

SEC. 607. TAIWAN FELLOWS ON DETAIL FROM GOVERNMENT SERVICE.

    (a) In General.--
            (1) Detail authorized.--With the approval of the Secretary 
        of State, an agency head may detail, for a period of not more 
        than 2 years, an employee of the agency of the United States 
        Government who has been awarded a fellowship under this title, 
        to the American Institute in Taiwan for the purpose of 
        assignment to the governing authorities on Taiwan or an 
        organization described in section 605(d)(2)(B).
            (2) Agreement.--Each detailee or legislative branch 
        employee who separates from service of the sponsoring agency 
        shall enter into a written agreement with the Federal 
        Government before receiving a fellowship, in which the fellow 
        shall agree--
                    (A) to continue in the service of the sponsoring 
                agency at the end of fellowship for a period of at 
                least 4 years (or at least 2 years if the fellowship 
                duration is 1 year or shorter) unless the detailee is 
                involuntarily separated from the service of such 
                agency; and
                    (B) to pay to the American Institute in Taiwan any 
                additional expenses incurred by the Federal Government 
                in connection with the fellowship if the detailee 
                voluntarily separates from service with the sponsoring 
                agency before the end of the period for which the 
                detailee has agreed to continue in the service of such 
                agency.
            (3) Exception.--The payment agreed to under paragraph 
        (2)(B) may not be required from--
                    (A) a detailee who leaves the service of the 
                sponsoring agency to enter into the service of another 
                agency of the United States Government unless the head 
                of the sponsoring agency notifies the detailee before 
                the effective date of entry into the service of the 
                other agency that payment will be required under this 
                subsection; or
                    (B) a legislative branch employee who separates 
                from service of such agency to participate in the 
                fellowship.
    (b) Status as Government Employee.--A detailee--
            (1) is deemed, for the purpose of preserving allowances, 
        privileges, rights, seniority, and other benefits, to be an 
        employee of the sponsoring agency;
            (2) is entitled to pay, allowances, and benefits from funds 
        available to such agency, which is deemed to comply with 
        section 5536 of title 5, United States Code; and
            (3) may be assigned to a position with an entity described 
        in section 605(d)(2)(A) if acceptance of such position does not 
        involve--
                    (A) the taking of an oath of allegiance to another 
                government; or
                    (B) the acceptance of compensation or other 
                benefits from any foreign government by such detailee.
    (c) Responsibilities of Sponsoring Agency.--
            (1) In general.--The Federal agency from which a detailee 
        is detailed should provide the fellow allowances and benefits 
        that are consistent with Department of State Standardized 
        Regulations or other applicable rules and regulations, 
        including--
                    (A) a living quarters allowance to cover the cost 
                of housing in Taiwan;
                    (B) a cost of living allowance to cover any 
                possible higher costs of living in Taiwan;
                    (C) a temporary quarters subsistence allowance for 
                up to 7 days if the fellow is unable to find housing 
                immediately upon arriving in Taiwan;
                    (D) an education allowance to assist parents in 
                providing the fellow's minor children with educational 
                services ordinarily provided without charge by public 
                schools in the United States;
                    (E) moving expenses to transport personal 
                belongings of the fellow and his or her family in their 
                move to Taiwan, which is comparable to the allowance 
                given for American Institute in Taiwan employees 
                assigned to Taiwan; and
                    (F) an economy-class airline ticket to and from 
                Taiwan for each fellow and the fellow's immediate 
                family.
            (2) Modification of benefits.--The American Institute in 
        Taiwan and its implementing partner, with the approval of the 
        Secretary of State, may modify the benefits set forth in 
        paragraph (1) if such modification is warranted by fiscal 
        circumstances.
    (d) No Financial Liability.--The American Institute in Taiwan, the 
implementing partner, and any governing authorities on Taiwan or 
nongovernmental entities in Taiwan at which a fellow is detailed during 
the second year of the fellowship may not be held responsible for the 
pay, allowances, or any other benefit normally provided to the 
detailee.
    (e) Reimbursement.--Fellows may be detailed under subsection (a)(1) 
without reimbursement to the United States by the American Institute in 
Taiwan.
    (f) Allowances and Benefits.--Detailees and legislative branch 
fellows who separate from service to participate in the fellowship may 
be paid by the American Institute in Taiwan for the allowances and 
benefits listed in subsection (c).
    (g) Separation of Legislative Branch Personnel During the 
Fellowships.--
            (1) In general.--Under such terms and conditions as the 
        agency head may direct, a legislative branch agency of the 
        United States Government may separate from Government service 
        for a specified period any officer or employee of such agency 
        who accepts a fellowship under the Taiwan Fellowship Program 
        and is not a detailee under subsection (a).
            (2) Rights and benefits.--
                    (A) In general.--Notwithstanding section 8347(o), 
                8713, or 8914 of title 5, United States Code, and in 
                accordance with regulations of the Office of Personnel 
                Management, a legislative branch employee, while 
                serving as a fellow who is not a detailee under 
                subsection (a), is entitled to the rights and benefits 
                described in subsections (a) and (d) of section 3582 of 
                title 5, United States Code.
                    (B) Reimbursement.--The American Institute in 
                Taiwan shall reimburse the employing agency for any 
                costs incurred for fellows under subsections (a) and 
                (d) of section 3582 of title 5, United States Code, 
                during a fellowship under this title and may provide 
                any other pay or allowances to such fellows.

SEC. 608. FUNDING.

    (a) Authorization of Appropriations.--There are authorized to be 
appropriated to the American Institute in Taiwan--
            (1) for fiscal year 2023, $2,900,000, of which--
                    (A) $500,000 shall be used to launch the Taiwan 
                Fellowship Program through the issuance of a 
                competitive grant to an appropriate implementing 
                partner;
                    (B) $2,300,000 shall be used for a grant to the 
                appropriate implementing partner; and
                    (C) $100,000 shall be used for management expenses 
                of the American Institute in Taiwan related to the 
                management of the Taiwan Fellowship Program; and
            (2) for fiscal year 2023, and each succeeding fiscal year, 
        $2,400,000, of which--
                    (A) $2,300,000 shall be used for a grant to the 
                appropriate implementing partner; and
                    (B) $100,000 shall be used for management expenses 
                of the American Institute in Taiwan related to the 
                management of the Taiwan Fellowship Program.
    (b) Private Sources.--The implementing partner selected to 
implement the Taiwan Fellowship Program may accept, use, and dispose of 
gifts or donations of services or property in carrying out such 
program, subject to the review and approval of the American Institute 
in Taiwan.

SEC. 609. SUPPORTING UNITED STATES EDUCATIONAL AND EXCHANGE PROGRAMS 
              WITH TAIWAN.

    (a) Establishment of the United States-Taiwan Cultural Exchange 
Foundation.--The Secretary of State should consider establishing an 
independent nonprofit entity that--
            (1) is dedicated to deepening ties between the future 
        leaders of Taiwan and the future leaders of the United States; 
        and
            (2) works with State and local school districts and 
        educational institutions to send high school and university 
        students to Taiwan to study the Chinese language, culture, 
        history, politics, and other relevant subjects.
    (b) Partner.--State and local school districts and educational 
institutions, including public universities, are encouraged to partner 
with the Taipei Economic and Cultural Representative Office in the 
United States to establish programs to promote more educational and 
cultural exchanges.

                  TITLE VII--MISCELLANEOUS PROVISIONS

SEC. 701. INVITATION OF TAIWANESE COUNTERPARTS TO HIGH-LEVEL BILATERAL 
              AND MULTILATERAL FORUMS AND EXERCISES.

    (a) Statement of Policy.--It is the policy of the United States to 
invite Taiwanese counterparts to participate in high-level bilateral 
and multilateral summits, military exercises, and economic dialogues 
and forums.
    (b) Sense of Congress.--It is the sense of Congress that--
            (1) the United States Government should invite Taiwan to 
        regional dialogues on issues of mutual concern;
            (2) the United States Government and Taiwanese counterparts 
        should resume meetings under the United States-Taiwan Trade and 
        Investment Framework Agreement and reach a bilateral free trade 
        agreement;
            (3) the United States Government should invite Taiwan to 
        participate in bilateral and multilateral military training 
        exercises;
            (4) the United States Government and Taiwanese counterparts 
        should engage in a regular and routine strategic bilateral 
        dialogue on arms sales in accordance with Foreign Military 
        Sales mechanisms; and
            (5) the United States Government should support export 
        licenses for direct commercial sales supporting Taiwan's 
        indigenous defensive capabilities.

SEC. 702. REPORT ON TAIWAN TRAVEL ACT.

    (a) List of High-Level Visits.--Not later than 180 days after the 
date of the enactment of this Act, and annually thereafter, the 
Secretary of State, in accordance with the Taiwan Travel Act (Public 
Law 115-135), shall submit to the appropriate congressional 
committees--
            (1) a list of high-level officials from the United States 
        Government who have traveled to Taiwan; and
            (2) a list of high-level officials of Taiwan who have 
        entered the United States.
    (b) Annual Report.--Not later than 90 days after the date of the 
enactment of this Act, and annually thereafter, the Secretary of State 
shall submit a report on the implementation of the Taiwan Travel Act to 
the appropriate congressional committees.

SEC. 703. PROHIBITIONS AGAINST UNDERMINING UNITED STATES POLICY 
              REGARDING TAIWAN.

    (a) Finding.--Congress finds that the efforts by the Government of 
the People's Republic of China and the Chinese Communist Party to 
compel private United States businesses, corporations, and 
nongovernmental entities to use language mandated by the People's 
Republic of China (referred to in this section as the ``PRC'') to 
describe the relationship between Taiwan and the PRC are an 
illegitimate attempt to enforce political censorship globally.
    (b) Sense of Congress.--It is the sense of Congress that the United 
States Government, in coordination with United States businesses and 
nongovernmental entities, should formulate a code of conduct for, and 
otherwise coordinate on, interacting with the Government of the PRC and 
the Chinese Communist Party and their affiliated entities, the aim of 
which is--
            (1) to counter PRC operations that threaten free speech, 
        academic freedom, and the normal operations of United States 
        businesses and nongovernmental entities; and
            (2) to counter PRC efforts to censor the way the world 
        refers to issues deemed sensitive to the PRC Government and 
        Chinese Communist Party leaders, including issues related to 
        Taiwan, Tibet, the Tiananmen Square Massacre, and the mass 
        internment of Uyghurs and other Turkic Muslims, among many 
        other issues.
    (c) Prohibition Against Recognizing the People's Republic of 
China's Claims to Sovereignty Over Taiwan.--
            (1) Sense of congress.--It is the sense of Congress that--
                    (A) issues related to the sovereignty of Taiwan are 
                for the people of Taiwan to decide through the 
                democratic process they have established;
                    (B) the dispute between the PRC and Taiwan must be 
                resolved peacefully and with the assent of the people 
                of Taiwan;
                    (C) the 2 key obstacles to peaceful resolution 
                are--
                            (i) the authoritarian nature of the PRC 
                        political system under one-party rule of the 
                        Chinese Communist Party, which is fundamentally 
                        incompatible with Taiwan's democracy; and
                            (ii) the PRC's pursuit of coercion and 
                        aggression towards Taiwan, in potential 
                        violation of the third United States-PRC Joint 
                        Communique, which was completed on August 17, 
                        1982; and
                    (D) any attempt to coerce or force the people of 
                Taiwan to accept a political arrangement that would 
                subject them to direct or indirect rule by the PRC, 
                including a ``one country, two systems'' framework, 
                would constitute a grave challenge to United States 
                security interests in the region.
            (2) Statement of policy.--It is the policy of the United 
        States to oppose any attempt by the PRC authorities to 
        unilaterally impose a timetable or deadline for unification on 
        Taiwan.
            (3) Prohibition on recognition of prc claims without the 
        assent of people of taiwan.--No department or agency of the 
        United States Government may formally or informally recognize 
        PRC claims to sovereignty over Taiwan without the assent of the 
        people of Taiwan, as expressed directly through the democratic 
        process.
            (4) Treatment of government of taiwan.--
                    (A) In general.--The Department of State and other 
                United States Government agencies shall--
                            (i) treat the democratically elected 
                        government of Taiwan as the legitimate 
                        representative of the people of Taiwan; and
                            (ii) end the outdated practice of referring 
                        to the Government in Taiwan as the 
                        ``authorities''.
                    (B) No restrictions.--Notwithstanding the continued 
                supporting role of the American Institute in Taiwan in 
                carrying out United States foreign policy and 
                protecting United States interests in Taiwan, the 
                United States Government may not place any undue 
                restrictions on the ability of officials of the 
                Department of State and other United States Government 
                agencies from interacting directly and routinely with 
                counterparts in the Taiwan government.
                    (C) Rule of construction.--Nothing in this 
                paragraph may be construed as--
                            (i) restoring diplomatic relations with the 
                        Republic of China (Taiwan), which were 
                        terminated on January 1, 1979; or
                            (ii) altering the United States 
                        Government's position on Taiwan's international 
                        status.
    (d) Strategy To Protect United States Businesses and 
Nongovernmental Entities From Coercion.--
            (1) In general.--Not later than 90 days after the date of 
        the enactment of this Act, the Secretary of State, in 
        consultation with the Secretary of Commerce, the Secretary of 
        the Treasury, and the heads of other relevant Federal agencies, 
        shall submit an unclassified report, with a classified annex, 
        if necessary, on how to protect United States businesses and 
        nongovernmental entities from PRC operations, including 
        coercion and threats that lead to censorship or self-
        censorship, or which compel compliance with political or 
        foreign policy positions of the Government of the People's 
        Republic of China and the Chinese Communist Party.
            (2) Elements.--The strategy shall include--
                    (A) information regarding efforts by the PRC 
                Government to censor the websites of United States 
                airlines, hotels, and other businesses regarding the 
                relationship between Taiwan and the PRC;
                    (B) information regarding efforts by the PRC 
                Government to target United States nongovernmental 
                entities through operations intended to weaken support 
                for Taiwan;
                    (C) information regarding United States Government 
                efforts to counter the threats posed by Chinese state-
                sponsored propaganda and disinformation, including 
                information on best practices, current successes, and 
                existing barriers to responding to such threat; and
                    (D) details of any actions undertaken to create the 
                code of conduct described in subsection (b), including 
                a timetable for the implementation of such code of 
                conduct.

       TITLE VIII--SANCTIONS MEASURES FOR CROSS-STRAIT STABILITY

SEC. 801. DEFINITIONS.

    In this title:
            (1) Admission; admitted; alien.--The terms ``admission'', 
        ``admitted'', and ``alien'' have the meanings given such terms 
        in section 101 of the Immigration and Nationality Act (8 U.S.C. 
        1101).
            (2) Appropriate committees of congress.--The term 
        ``appropriate committees of Congress'' means--
                    (A) the Committee on Foreign Relations of the 
                Senate;
                    (B) the Committee on Banking, Housing, and Urban 
                Affairs of the Senate;
                    (C) the Committee on Foreign Affairs of the House 
                of Representatives; and
                    (D) the Committee on Financial Services of the 
                House of Representatives.
            (3) CCP.--The term ``CCP'' means the Chinese Communist 
        Party.
            (4) Financial institution.--The term ``financial 
        institution'' means a financial institution specified in 
        subparagraph (A), (B), (C), (D), (E), (F), (G), (H), (I), (J), 
        (M), or (Y) of section 5312(a)(2) of title 31, United States 
        Code.
            (5) Foreign financial institution.--The term ``foreign 
        financial institution'' has the meaning given such term in 
        regulations prescribed by the Secretary of the Treasury.
            (6) Foreign person.--The term ``foreign person'' means an 
        individual or entity that is not a United States person.
            (7) Knowingly.--The term ``knowingly'', with respect to 
        conduct, a circumstance, or a result, means that a person had 
        actual knowledge, or should have known, of the conduct, the 
        circumstance, or the result.
            (8) United states person.--The term ``United States 
        person'' means--
                    (A) a United States citizen or an alien lawfully 
                admitted for permanent residence to the United States; 
                or
                    (B) an entity organized under the laws of the 
                United States or of any jurisdiction within the United 
                States, including a foreign branch of such an entity.

SEC. 802. DETERMINATIONS WITH RESPECT TO ACTIVITIES OF THE PEOPLE'S 
              REPUBLIC OF CHINA IMPACTING TAIWAN.

    (a) In General.--The President shall determine, in accordance with 
subsection (b), whether--
            (1) the Government of the People's Republic of China, 
        including through any of its proxies, is knowingly engaged in a 
        significant escalation in hostile action in or against Taiwan, 
        compared to the level of hostile action in or against Taiwan 
        before December 1, 2021; and
            (2) if such engagement exists, whether such escalation has 
        the significant effect of--
                    (A) undermining, overthrowing, or dismantling the 
                governing institutions in Taiwan;
                    (B) occupying the territory of Taiwan; or
                    (C) interfering with the territorial integrity of 
                Taiwan.
    (b) Timing of Determinations.--The President shall make the 
determination described in subsection (a)--
            (1) not later than 15 days after the date of the enactment 
        of this Act;
            (2) after the first determination under paragraph (1), not 
        less frequently than once every 90 days (or more frequently, if 
        warranted) during the 1-year period beginning on such date of 
        enactment; and
            (3) after the end of such 1-year period, not less 
        frequently than once every 120 days.
    (c) Report Required.--Upon making a determination described in 
subsection (a), the President shall submit a report describing the 
factors influencing such determination to--
            (1) the appropriate committees of Congress;
            (2) the Committee on Armed Services of the Senate; and
            (3) the Committee on Armed Services of the House of 
        Representatives.

SEC. 803. IMPOSITION OF SANCTIONS ON OFFICIALS OF THE GOVERNMENT OF THE 
              PEOPLE'S REPUBLIC OF CHINA RELATING TO OPERATIONS IN 
              TAIWAN.

    (a) In General.--Not later than 60 days after making an affirmative 
determination under section 802, the President shall, to the extent 
they can be identified, impose the sanctions described in section 808 
with respect to each of the officials specified in subsection (b).
    (b) Officials Specified.--The officials specified in this 
subsection are--
            (1) the President of the People's Republic of China;
            (2) the Premier of the People's Republic of China;
            (3) the Foreign Minister of the People's Republic of China;
            (4) members of the CCP Politburo Standing Committee;
            (5) members of the CCP Party Central Military Commission;
            (6) members of the CCP Politburo;
            (7) members of the CCP Central Committee;
            (8) members of the CCP National Congress;
            (9) members of the State Council of the People's Republic 
        of China; and
            (10) members of the State Central Military Commission of 
        the CCP.
    (c) Additional Officials.--
            (1) List required.--Not later than 30 days after making an 
        affirmative determination under section 802 and every 90 days 
        thereafter, the President shall submit a list to the 
        appropriate committees of Congress that identifies any foreign 
        persons not specified in subsection (b) who the President 
        determines--
                    (A) are--
                            (i) senior officials of any branch of the 
                        armed forces of the People's Republic of China 
                        leading any of the operations described in 
                        section 802; or
                            (ii) senior officials of the Government of 
                        the People's Republic of China, including any 
                        intelligence agencies or security services of 
                        the People's Republic of China, who have 
                        significant roles in planning or implementing 
                        such operations; and
                    (B) with respect to which sanctions should be 
                imposed in the interest of the national security of the 
                United States.
            (2) Imposition of sanctions.--Upon the submission of each 
        list required under paragraph (1), the President shall impose 
        the sanctions described in section 808 with respect to each 
        foreign person included on the list.

SEC. 804. IMPOSITION OF SANCTIONS WITH RESPECT TO FINANCIAL 
              INSTITUTIONS OF THE PEOPLE'S REPUBLIC OF CHINA.

    (a) Imposition of Sanctions.--
            (1) In general.--Not later than 30 days after making an 
        affirmative determination under section 802, the President 
        shall impose the sanctions described in section 808(a) with 
        respect to 3 or more of the following financial institutions:
                    (A) Industrial and Commercial Bank of China (ICBC).
                    (B) China Construction Bank.
                    (C) Bank of China.
                    (D) Agricultural Bank of China.
                    (E) Bank of Communications.
                    (F) China Development Bank.
                    (G) Postal Savings Bank of China (PSBC).
                    (H) Industrial Bank Co., Ltd.
                    (I) China CITIC Bank Corporation.
                    (J) China Merchants Bank.
                    (K) Export-Import Bank of China.
                    (L) Shanghai Pudong Development Bank Co., Ltd.
                    (M) China Everbright Bank Co., Ltd.
                    (N) Hua Xia Bank.
                    (O) Ping An Bank Co., Ltd.
            (2) Subsidiaries and successor entities.--The President may 
        impose the sanctions described in section 808(a) with respect 
        to any subsidiary of, or successor entity to, a financial 
        institution specified in paragraph (1).
    (b) Additional People's Republic of China Financial Institutions.--
            (1) List required.--Not later than 30 days after making an 
        affirmative determination under section 802, and every 90 days 
        thereafter, the President shall submit a list to the 
        appropriate committees of Congress that identifies any foreign 
        persons that the President determines--
                    (A) are significant financial institutions owned or 
                operated by the Government of the People's Republic of 
                China; and
                    (B) should be sanctioned in the interest of United 
                States national security.
            (2) Imposition of sanctions.--Upon the submission of each 
        list required under paragraph (1), the President shall impose 
        the sanctions described in section 808(a) with respect to each 
        foreign person identified on the list.

SEC. 805. IMPOSITION OF SANCTIONS WITH RESPECT TO PROVISION OF 
              SPECIALIZED FINANCIAL MESSAGING SERVICES TO SANCTIONED 
              PEOPLE'S REPUBLIC OF CHINA FINANCIAL INSTITUTIONS.

    (a) List of Providers of Specialized Financial Messaging Services 
to PRC Financial Institutions.--Not later than 60 days after making an 
affirmative determination under section 802, and not later than 30 days 
after the submission of any list of People's Republic of China 
financial institutions under section 804(b)(1), the Secretary of State, 
in consultation with the Secretary of the Treasury, shall submit a list 
to the appropriate committees of Congress that identifies all known 
persons that provide specialized financial messaging services to, or 
that enable or facilitate access to such services for, any financial 
institution specified in section 804(a) or that is on the list required 
under section 804(b).
    (b) Report on Efforts To Terminate the Provision of Specialized 
Financial Messaging Services for Sanctioned People's Republic of China 
Financial Institutions.--Not later than 90 days after the imposition of 
any sanctions authorized under section 804, and every 30 days 
thereafter, as necessary, the Secretary of State, in consultation with 
the Secretary of the Treasury, shall submit a report to the appropriate 
committees of Congress that--
            (1) describes the status of efforts to ensure that the 
        termination of the provision of specialized financial messaging 
        services to, and the enabling and facilitation of access to 
        such services for, any financial institution against which 
        sanctions are imposed pursuant to section 804; and
            (2) identifies any other provider of specialized financial 
        messaging services that continues to provide messaging services 
        to, or enables or facilitates access to such services for, any 
        such financial institution.
    (c) Authorization for the Imposition of Sanctions.--If, on or after 
the date that is 90 days after the imposition of any sanctions 
authorized under section 804, a provider of financial specialized 
financial messaging services continues to knowingly provide specialized 
financial messaging services to, or knowingly enable or facilitate 
direct or indirect access to such messaging services for, any financial 
institution with respect to which sanctions are imposed pursuant to 
section 804, the President may impose sanctions pursuant to that 
section or the International Emergency Economic Powers Act (50 U.S.C. 
1701 et seq.) with respect to such provider.
    (d) Enabling or Facilitation of Access to Specialized Financial 
Messaging Services Through Intermediary Financial Institutions.--For 
purposes of this section, enabling or facilitating direct or indirect 
access to specialized financial messaging services includes doing so by 
serving as an intermediary financial institution with access to such 
messaging services.
    (e) Form of Lists and Reports.--Each list required under subsection 
(a) and each report required under subsection (b) shall be submitted in 
unclassified form, but may include a classified annex.

SEC. 806. IMPOSITION OF SANCTIONS WITH RESPECT TO PEOPLE'S REPUBLIC OF 
              CHINA EXTRACTIVE INDUSTRIES.

    (a) Identification.--Not later than 60 days after making an 
affirmative determination under section 802, the President shall 
identify foreign persons involved in any of the sectors or industries 
described in subsection (b) that the President determines should be 
sanctioned in the interest of United States national security.
    (b) Sectors and Industries Described.--The sectors and industries 
described in this subsection are--
            (1) oil and gas extraction and production;
            (2) coal extraction, mining, and production;
            (3) minerals extraction and processing; and
            (4) any other sector or industry with respect to which the 
        President determines the imposition of sanctions is in the 
        United States national security interest.
    (c) List; Imposition of Sanctions.--Not later than 90 days after 
making an affirmative determination under section 802, the President 
shall--
            (1) submit a list of the persons identified under 
        subsection (a) to the appropriate committees of Congress; and
            (2) impose the sanctions described in section 808 with 
        respect to each such person.

SEC. 807. ADDITIONAL SANCTIONS.

    (a) In General.--Beginning on the date that is 90 days after the 
date of the enactment of this Act, the President shall impose the 
sanctions described in section 808 on any foreign person that the 
President determines, while acting for or on behalf of the Government 
of the People's Republic of China, knowingly--
            (1) ordered or engaged directly in activities interfering 
        significantly in a democratic process in Taiwan; or
            (2) with the objective of destabilizing Taiwan, engaged 
        directly in, or ordered--
                    (A) malicious cyber-enabled activities; or
                    (B) any military exercise that crossed that 
                ``middle line'' in the Taiwan Strait.
    (b) Waiver.--The President may waive the application of sanctions 
under this section if the President submits to the appropriate 
committees of Congress a written determination that such waiver is in 
the national interests of the United States.

SEC. 808. SANCTIONS DESCRIBED.

    (a) Property Blocking.--Except as provided in section 810, the 
President shall exercise all of the powers granted by the International 
Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) to the extent 
necessary to block and prohibit all transactions in all property and 
interests in property of the foreign person if such property and 
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.
    (b) Aliens Inadmissible for Visas, Admission, or Parole.--
            (1) Visas, admission, or parole.--In the case of an alien, 
        the alien is--
                    (A) inadmissible to the United States;
                    (B) ineligible to receive a visa or other 
                documentation to enter the United States; and
                    (C) otherwise ineligible to be admitted or paroled 
                into the United States or to receive any other benefit 
                under the Immigration and Nationality Act (8 U.S.C. 
                1101 et seq.).
            (2) Current visas revoked.--
                    (A) In general.--The visa or other entry 
                documentation of an alien described in paragraph (1) 
                shall be revoked, regardless of when such visa or other 
                entry documentation was issued.
                    (B) Immediate effect.--A revocation under 
                subparagraph (A) shall--
                            (i) take effect immediately; and
                            (ii) automatically cancel any other valid 
                        visa or entry documentation that is in the 
                        alien's possession.

SEC. 809. IMPLEMENTATION; REGULATIONS; PENALTIES.

    (a) Implementation.--The President may exercise all 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 carry out this title.
    (b) Rulemaking.--The President shall issue such regulations, 
licenses, and orders as are necessary to carry out this title.
    (c) Penalties.--Any person that violates, attempts to violate, 
conspires to violate, or causes a violation of this title, or any 
regulation, license, or order issued to carry out this title, shall be 
subject to the penalties set forth in subsections (b) and (c) of 
section 206 of the International Emergency Economic Powers Act (50 
U.S.C. 1705) to the same extent as a person that commits an unlawful 
act described in subsection (a) of that section.

SEC. 810. EXCEPTIONS; WAIVER.

    (a) Exceptions.--
            (1) Exception for intelligence activities.--This title 
        shall not apply with respect to--
                    (A) activities subject to the reporting 
                requirements under title V of the National Security Act 
                of 1947 (50 U.S.C. 3091 et seq.); or
                    (B) authorized intelligence activities of the 
                United States.
            (2) Exception for compliance with international obligations 
        and law enforcement activities.--Sanctions under this title 
        shall not apply with respect to an alien if admitting or 
        paroling such alien into the United States is necessary--
                    (A) to permit the United States to comply with the 
                Agreement regarding the Headquarters of the United 
                Nations, signed at Lake Success on June 26, 1947, and 
                entered into force November 21, 1947, between the 
                United Nations and the United States, or other 
                applicable international obligations of the United 
                States; or
                    (B) to carry out or assist law enforcement activity 
                in the United States.
            (3) Exception relating to importation of goods.--
                    (A) Defined term.--In this paragraph, the term 
                ``good'' means any article, natural or manmade 
                substance, material, supply, or manufactured product, 
                including inspection and test equipment, and excluding 
                technical data.
                    (B) In general.--Notwithstanding any other 
                provision of this title, the authority or a requirement 
                to impose sanctions under this title shall not include 
                the authority or a requirement to impose sanctions on 
                the importation of goods.
    (b) National Security Waiver.--The President may waive the 
imposition of sanctions based on a determination under section 802 with 
respect to a person if the President--
            (1) determines that such a waiver is in the national 
        security interests of the United States; and
            (2) submits a notification of the waiver and the reasons 
        for the waiver to the appropriate committees of Congress.

SEC. 811. TERMINATION.

    The President may terminate the sanctions imposed under this title 
based on a determination under section 802, after determining and 
certifying to the appropriate committees of Congress that the 
Government of the People's Republic of China--
            (1) has verifiably ceased the activities described in 
        section 802(a) with respect to operations against Taiwan; and
            (2) to the extent applicable, has entered into an agreed 
        settlement with a legitimate democratic Government of Taiwan.

                     TITLE IX--RULE OF CONSTRUCTION

SEC. 901. RULE OF CONSTRUCTION.

    Nothing in this Act may be construed--
            (1) to restore diplomatic relations with the Republic of 
        China; or
            (2) to alter the United States Government's position with 
        respect to the international status of the Republic of China.
                                 <all>