Representatives Tom Cole, Chairman of the House Rules Committee (R-OK), Gregory W. Meeks (D-NY), Ranking Member of the House Foreign Affairs Committee and Ami Bera (D-CA), Ranking Member of the House Foreign Affairs Subcommittee on the Indo-Pacific, released the following statement announcing their introduction of H.R. 1135, the Countering Economic Coercion Act of 2023, which would provide the president new tools to provide rapid economic support to partners and allies facing economic coercion from the People’s Republic of China and hold the PRC accountable for its actions.
“The People’s Republic of China has repeatedly used economic coercion against United States allies and partners to shape their policies or exact retribution in response to sovereign decisions Beijing does not like. Such practice has not only undermined the sovereignty and damaged the economies of our allies and friends, but also directly harmed U.S. interests around the world. Beijing’s behavior runs counter to the rules-based system that has been the cornerstone of economic prosperity since the last world war and must be addressed. The Countering Economic Coercion Act of 2023 will provide the president new authorities to respond quickly to these malicious activities, providing tools to both support our allies and partners targeted by economic coercion and to inflict consequences on those employing these tactics. We thank Senators Coons and Young for their leadership in introducing this legislation in the Senate and look forward to working in bipartisan fashion to pass it through both chambers of Congress.”
The legislation would create the following presidential authorities:
1. Seek congressional appropriations to support foreign aid, export financing and sovereign loan guarantees to foreign partners that are subject to economic coercion;
2. Expedite export licensing decisions and regulatory processes to facilitate trade with affected foreign partners;
3. Decrease duties on non-import-sensitive goods imported by the U.S. from foreign partners that are subject to coercion to make up for lost exports;
4. Increase duties on imports from foreign adversaries committing economic coercion against United States partners and allies; and
5. Waive certain policy requirements to facilitate export financing, allowing the U.S. private sector to meet opportunities in foreign economies suffering from coercion.
The full text of the bill can be found here.
