II 117th CONGRESS 2d Session S. 4129 IN THE SENATE OF THE UNITED STATES May 3, 2022 Mr. Rubio introduced the following bill; which was read twice and referred to the Committee on Foreign Relations A BILL To promote peace through strength in Taiwan, and for other purposes.

1. Short title This Act may be cited as the Taiwan Peace through Strength Act of 2022 . 2. Anticipatory policy planning and annual review of United States war plans to defend Taiwan (a) In general Not later than 180 days after the date of the enactment of this Act, and annually thereafter, the Secretary of Defense shall conduct a classified review of United States war plans to defend Taiwan and share the results of the review with the Chairman and Ranking Member of the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives. (b) Elements The review conducted under subsection (a) shall include the following elements: (1) An assessment of Taiwan's current and near-term capabilities and United State force readiness and the adequacy of United States conflict contingency plans. (2) A detailed strategy of denial to defend Taiwan against aggression by the People’s Liberation Army, especially an attempted fait accompli to seize and hold the island. (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. (5) The compilation of a pre-approved list of military capabilities, including both asymmetric and traditional capabilities selected to suit the operational environment and to allow Taiwan to respond effectively to a variety of contingencies across all phases of conflict involving the People’s Liberation Army, that the Secretary of Defense has pre-cleared for Taiwan to acquire, and that would reduce the threat of conflict, thwart an invasion, and mitigate other risks to the United States and Taiwan. 3. Fast-tracking sales to Taiwan under Foreign Military Sales program (a) Preclearance of certain Foreign Military Sales items (1) In general Not later than one year after the date of the enactment of this Act, and annually thereafter, the Secretary of State, in coordination with the Secretary of Defense and in conjunction with coordinating entities such as the National Disclosure Policy Committee and the Arms Transfer and Technology Release Senior Steering Group, shall compile a list of available and emerging military platforms, technologies, and equipment that are pre-cleared and prioritized for sale and release to Taiwan through the Foreign Military Sales program. The Department of Defense shall serve as the lead Federal agency for purposes of making final determinations when disputes arise between agencies about the appropriateness of specific items for sale to Taiwan. (2) Selection of items (A) In general The items pre-cleared for sale pursuant to paragraph (1) shall represent a full range of key asymmetric capabilities as well as the conventional capabilities informed by United States readiness and risk assessments and determined by Taiwan to be required for various wartime scenarios and peacetime duties, and shall include each item on the list of approved items compiled by the Secretary of Defense pursuant to section 2(b)(5) unless the Secretary of State includes a determination for any excluded item that the costs to the United States of the failure to arm Taiwan with such item, including the likelihood of being drawn into conflict with the People's Republic of China, are less likely to be incurred, and would be less costly if incurred, than the potential costs, such as technology slippage, associated with providing such item. (B) Rule of construction The list compiled pursuant to section 2(b)(5) shall not be construed as limiting the type, timing, or quantity of items that may be requested by, or sold to, Taiwan under the Foreign Military Sales program. (b) Prioritized processing of Foreign Military Sales requests from Taiwan (1) Requirement The Secretary of Defense and the Secretary of State shall prioritize and expedite the processing of requests from Taiwan under the Foreign Military Sales program, and may not delay the processing of requests for bundling purposes. (2) Duration The requirement under paragraph (1) shall continue until the Secretary of Defense determines and certifies to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives that the threat to Taiwan has significantly abated. (3) Annual report 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 submit to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives a report describing steps taken to implement the requirement under paragraph (1). (c) Priority production (1) Requirement Contractors awarded Department of Defense contracts to provide items for sale to Taiwan under the Foreign Military Sales program shall be required, as a condition of receiving such contracts, to expedite and prioritize the production of such items above the production of other items regardless of the order in which contracts were signed. (2) Duration The requirement under paragraph (1) shall continue until the Secretary of Defense determines and certifies to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives that the threat to Taiwan has significantly abated. (3) Annual report Contractors covered under paragraph (1) shall be required to report annually to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives on efforts to expedite and prioritize production as required under such paragraph. (d) Interagency policy The Secretary of State and the Secretary of Defense shall jointly review and update interagency policies and implementation guidance related to Foreign Military Sales requests from Taiwan, including incorporating the preclearance and prioritization provisions of this section. 4. Authorization of appropriations for foreign military financing grant assistance to Taiwan (a) Taiwan security programs In addition to amounts otherwise authorized to be appropriated for Foreign Military Financing, there is authorized to be appropriated to the Department of State for the exclusive purpose of Taiwan Foreign Military Finance grant assistance programs $2,000,000,000 for each of fiscal years 2023 to 2032. (b) Restrictions on taiwan foreign military financing Amounts authorized to be appropriated under subsection (a) shall be available only if— (1) Taiwan commits to match the appropriated spending on a dollar-for-dollar basis, as reflected in Taiwan’s annual allocation for defense spending and special budgets passed by the Legislative Yuan for additional defense spending; (2) Taiwan focuses on the acquisition of asymmetric capabilities consistent with a strategy of denial while also modernizing sufficient conventional capabilities to respond to a variety of contingencies across all phases of conflict, including grey zone activities, and execute essential peacetime missions; and (3) the United States and Taiwan formally agree— (A) to conduct joint long-range planning for capability development; and (B) on the expenditure of such amounts and on specific, pre-cleared systems and training that reduce risk to Taiwan and the United States by deterring the People’s Liberation Army. (c) Updated interagency policy and guidance (1) In general Not later than 180 days after the date of the enactment of this Act, the Secretary of State and the Secretary of Defense shall review and update interagency written policy and implementation guidance related to the Taiwan Relations Act ( Public Law 96–8 ). (2) Elements The updated policy and guidance required under paragraph (1) shall— (A) reflect the Foreign Military Sales prioritization requirements under section 3; and (B) update obsolete policy guidance based on arms of a defensive character to a policy based on deterring the People's Liberation Army, including the provision of arms designed to deter an invasion, whether arms of a defensive or offensive nature. 5. Amendments to Taiwan Relations Act (a) Policy Section 2(b)(5) of the Taiwan Relations Act ( 22 U.S.C. 3301(b)(5) ) is amended by striking arms of a defensive character and inserting arms conducive to the deterrence of acts of aggression by the People’s Liberation Army . (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 such defense articles and defense services in such quantity as may be necessary to enable Taiwan to maintain a sufficient self-defense capability and inserting such defense articles and defense services in such quantity as may be necessary to enable Taiwan to implement a strategy of denial and deter acts of 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 new subsection: (e) Security cooperation and deterrence of use of force by People's Liberation Army Nothing in this Act, nor the facts of the President’s action in extending diplomatic recognition to the People’s Republic of China, the absence of diplomatic relations between the people of Taiwan and the United States, or the lack of formal recognition by the United States, and attendant circumstances thereto, shall 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. . 6. Comprehensive training program (a) In general The Secretary of Defense shall establish a comprehensive training program with Taiwan designed to achieve interoperability and improve Taiwan’s defense capabilities. The training program should include joint United States-Taiwan contingency tabletop exercises, war games, full-scale military exercises, and an enduring rotational United States military advisory group large enough to ensure Taiwan maintains force readiness and can fully utilize United States technologies released through the Foreign Military Sales and Foreign Military Financing programs. (b) Annual report 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 submit to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives a report on the establishment and implementation of the comprehensive training program required under subsection (a). 7. Military planning mechanism The Secretary of Defense shall establish a high-level military planning mechanism between the United States and Taiwan to oversee a Joint and Combined Exercise Program and coordinate International Military Education and Training assistance and professional exchanges aimed at determining and coordinating the acquisition of capabilities for both United States and Taiwan military forces to address the needs of currently anticipated and future contingencies. The mechanism 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. 8. Prohibition on doing business in China Any contractor awarded a Department of Defense contract shall be required, as a condition of receiving such contract, not to conduct any business in the People's Republic of China. Noncompliance with such requirement shall be grounds for termination of the contract.