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S. 2826·115th Congress·Senate Bill

Fair Trade with China Enforcement Act

Stage not supplied

The source supplies the latest action, but no lifecycle stage.

Latest action (10 May 2018): Read twice and referred to the Committee on Finance. (Sponsor introductory remarks on measure: CR S2625-2627)

What this bill does

S. 2826, the Fair Trade with China Enforcement Act, was introduced by Sen. Marco Rubio (R-FL) on May 10, 2018, and referred to the Senate Finance Committee. It would direct the U.S. Trade Representative to publish an annual list of Chinese products supported under China's "Made in China 2025" industrial policy, in sectors such as aerospace, semiconductors, robotics, and biotechnology. Building on that list, the bill would ban exports to China of "national security sensitive" technology and intellectual property, cap Chinese ownership stakes in U.S. companies that make components for listed products, and bar federal agencies from using or contracting for telecommunications equipment or services from Huawei, ZTE, or similar Chinese-linked entities.

The bill also contains trade-enforcement measures: it would automatically treat imports of listed Chinese products as benefiting from countervailable subsidies and causing material injury to U.S. industry, ending certain reduced tax withholding rates for Chinese residents under the U.S.-China tax treaty, removing tax exemptions for the Chinese government and its central bank on U.S. investment income, and imposing a surtax on certain China-derived income. These provisions would primarily affect U.S. companies engaged in trade, investment, or technology transfer with China, Chinese investors and government entities holding U.S. assets, and federal agencies' technology procurement.

As an introduced bill referred to committee, it has not been voted on and did not advance during the 115th Congress. Its next step would depend on committee action, which did not occur before the Congress ended.

Plain-English summary generated by Bill100 AI from the official record. Always verify against the source below.

Official summary

Fair Trade with China Enforcement Act

This bill revises trade, finance, and tax provisions with respect to China.

The bill directs the Department of Commerce to prohibit the export of certain U.S. technology and intellectual property to China.

The bill amends the Securities Exchange Act of 1934 to place a shareholder cap on Chinese investments in certain U.S. corporations.

Federal agencies are prohibited from using or procuring telecommunications equipment or services from Huawei Technologies Company, ZTE Corporation, or any other entity reasonably believed to be owned or controlled by China.

The bill amends the Trade Act of 1974 to require the U.S. Trade Representative to list certain Chinese products that receive support pursuant to China's Made in China 2025 policy. The bill amends the Tariff Act of 1930 to expedite the countervailing duty process (i.e., the imposition of duties to offset a subsidy by a foreign government) for products on such a list.

The bill amends the Internal Revenue Code to:

• repeal certain reduced withholding rates for residents of China,

Timeline

  1. 10 May 2018

    Read twice and referred to the Committee on Finance. (Sponsor introductory remarks on measure: CR S2625-2627)

Common questions

What does S. 2826 do?
S. 2826, the Fair Trade with China Enforcement Act, was introduced by Sen. Marco Rubio (R-FL) on May 10, 2018, and referred to the Senate Finance Committee. It would direct the U.S. Trade Representative to publish an annual list of Chinese products supported under China's "Made in China 2025" industrial policy, in sectors such as aerospace, semiconductors, robotics, and biotechnology. Building on that list, the bill would ban exports to China of "national security sensitive" technology and intellectual property, cap Chinese ownership stakes in U.S. companies that make components for listed products, and bar federal agencies from using or contracting for telecommunications equipment or services from Huawei, ZTE, or similar Chinese-linked entities. The bill also contains trade-enforcement measures: it would automatically treat imports of listed Chinese products as benefiting from countervailable subsidies and causing material injury to U.S. industry, ending certain reduced tax withholding rates for Chinese residents under the U.S.-China tax treaty, removing tax exemptions for the Chinese government and its central bank on U.S. investment income, and imposing a surtax on certain China-derived income. These provisions would primarily affect U.S. companies engaged in trade, investment, or technology transfer with China, Chinese investors and government entities holding U.S. assets, and federal agencies' technology procurement. As an introduced bill referred to committee, it has not been voted on and did not advance during the 115th Congress. Its next step would depend on committee action, which did not occur before the Congress ended.
Has S. 2826 become law?
The source does not supply a confirmed lifecycle stage for S. 2826. Check the latest action and official source below.
Who sponsored S. 2826?
S. 2826 was sponsored by Sen. Rubio, Marco [R-FL] (R-FL), with 0 cosponsors.
What's the latest action on S. 2826?
Read twice and referred to the Committee on Finance. (Sponsor introductory remarks on measure: CR S2625-2627) (10 May 2018).

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