<enum>I</enum><header>Chinese Corporate Human Rights Abusers List</header> <section id="H8C7494E7A08C444190B74AEC8675E174"><enum>101.</enum><header>Findings</header><text display-inline="no-display-inline">Congress finds the following:</text> <paragraph id="HD8957F89CAA54ABA9FF478CE8DC3E7A6"><enum>(1)</enum><text display-inline="yes-display-inline">In its 2020 report to Congress, the bipartisan United States-China Economic and Security Review Commission issued the following key findings:</text> <subparagraph id="H73EEC74F93EF4DB3B84DC93A58E1D0DF"><enum>(A)</enum><text>As Beijing strategically opens its financial sector to secure foreign capital and global investment indices shift asset allocations toward Chinese securities, United States investors’ exposure to the unique and significant risks accumulated in China’s capital markets rises. These risks center around the opacity of China’s financial system and Beijing’s interference in market activity to advance its political objectives.</text></subparagraph> <subparagraph id="H6076AEDEEF174591B5254F35A39389B2"><enum>(B)</enum><text>Increased financial exposure to China threatens to undermine the efforts of the United States to defend against China’s unfair economic practices and protect the policy interests of the United States. Several Chinese companies included in global investment indices are subject to United States export controls but not investment restrictions. This mismatch enables problematic Chinese companies to continue raising United States capital and reduces the strength with which the United States can defend against companies that threaten national security.</text></subparagraph> <subparagraph id="HFB49301B1F7149698D116E8B9655DDEC"><enum>(C)</enum><text>Beijing continues to deny United States audit regulators full visibility into the financials of U.S.-listed Chinese companies in line with United States accounting standards. These evasions from effective regulation and oversight, together with United States-listed Chinese companies’ complex ownership structures, deprive United States investors of both full transparency and the opportunity for legal redress in cases of accounting fraud, eroding the integrity of United States capital markets.</text></subparagraph></paragraph> <paragraph id="H3601DCD5D7274FAABECDCE068E75BAFD"><enum>(2)</enum><text>The Chinese Communist Party’s commitment to their Military-Civil Fusion development strategy, which supports the modernization goals of the People’s Liberation Army (PLA) by ensuring its access to advanced technologies and expertise acquired and developed by even those Chinese companies, universities, and research programs that appear to be civilian entities, remains a grave threat to the national security of the United States.</text></paragraph> <paragraph id="H42468CD4DA7647518978A475CFF3F96F"><enum>(3)</enum><text>The efforts of the Government of the United States to stymie China’s utilization of United States capital markets is an ongoing, multi-agency, and decades-long effort. The colloquially titled Section 1237 List of the Strom Thurmond National Defense Authorization Act for Fiscal Year 1999, as well as the Section 1260H List of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021, both highlight companies who pose a serious threat to the national security of the United States.</text></paragraph> <paragraph id="H1274A6FFDA4D4D58812CC5E9CA94C5A3"><enum>(4)</enum><text>On June 3, 2021, the Department of Defense released a list of 47 entities identified as Chinese military companies operating in the United States in accordance with section 1260H of the William M. (<quote>Mac</quote>) Thornberry National Defense Authorization Act for Fiscal Year 2021 (<external-xref legal-doc="public-law" parsable-cite="pl/116/283">Public Law 116–283</external-xref>).</text></paragraph> <paragraph id="HE2AC9BDB8ECE4851B42BF9186FA1C2AD"><enum>(5)</enum><text>On January 14, 2021, the Department of Defense released the names of additional <quote>Communist Chinese military companies</quote> operating directly or indirectly in the United States in accordance with the statutory requirement of section 1237 of the National Defense Authorization Act for Fiscal Year 1999. Those companies included: Advanced Micro-Fabrication Equipment Inc. (AMEC), Luokung Technology Corp. (LKCO), Xiaomi Corporation, Beijing Zhongguancun Development Investment Center, GOWIN Semiconductor Corp, Grand China Air Co. Ltd. (GCAC), Global Tone Communication Technology Co. Ltd. (GTCOM), China National Aviation Holding Co. Ltd. (CNAH), and Commercial Aircraft Corporation of China, Ltd. (COMAC).</text></paragraph> <paragraph id="H662264C69C834C579D81465379E3084D"><enum>(6)</enum><text>On March 12, 2021, the United States District Court for the District of Columbia issued an order in Xiaomi Corporation v. Department of Defense (Case No. 1:21–cv–00280–RC) that forestalled the Defense Department’s designation of the Xiaomi Corporation as a Communist Chinese military company. On May 6, 2021, the Nasdaq-listed Luokung Technology Corporation became the second China-based company to avoid sanctions imposed under Executive Order 13959. These companies have been able to avoid sanctions because the Chinese Communist Party actively blocks United States Government agencies from obtaining information relevant to determining the ownership and control of China-based enterprises.</text></paragraph> <paragraph id="H9C774A2BBAF7480E9BF910B9235CAFBC"><enum>(7)</enum><text display-inline="yes-display-inline">Several Chinese military or military related companies, as well as surveillance and technology companies, including Hikvision, a major manufacturer of video surveillance equipment, materially contribute to either the ongoing genocide in Xinjiang or to other gross violations of internationally recognized human rights across the People’s Republic of China (PRC).</text></paragraph> <paragraph id="H33DEA40616CE44DF9C85997AB7B0D7E6"><enum>(8)</enum><text>On January 19, 2021, then-Secretary of State Michael R. Pompeo determined that the Chinese Communist Party (CCP) has committed genocide against the predominantly Muslim Uyghurs and other ethnic and religious minority groups in Xinjiang.</text></paragraph> <paragraph id="HCF951BECA64745EB846564F13081E731"><enum>(9)</enum><text>Then-Secretary Pompeo’s designation cited the State Department’s exhaustive documentation of CCP human rights abuses in Xinjiang, indicating that <quote>since at least March 2017, local authorities dramatically escalated their decades-long campaign of repression against Uyghur Muslims and members of other ethnic and religious minority groups, including ethnic Kazakhs and ethnic Kyrgyz</quote>.</text></paragraph> <paragraph id="H44988370E63C4AA99C079539B84A066D"><enum>(10)</enum><text>The genocide determination also cited the CCP’s regular dehumanization of the Uyghur people in Xinjiang, including by labeling them as <quote>malignant tumors</quote>, citing the Islamic faith as a <quote>communicable plague</quote>, and justifying the grotesque treatment of the Uyghur people in stark, unsettling terms: <quote>you can’t uproot all the weeds hidden among the crops in the field one-by-one; you need to spray chemicals to kill them all</quote>.</text></paragraph> <paragraph id="H55962987662C4DDFA050DB5A64A375DE"><enum>(11)</enum><text>On April 21, 2021, the United States House Committee on Foreign Affairs approved without objection H.R. 1155, which affirmed that the PRC, since 2017, has arbitrarily detained as many as 1.8 million Uyghurs, Kazakhs, Kyrgyz, and members of other Muslim minority groups in a system of extrajudicial mass internment camps, in addition to arbitrarily detaining many in formal prisons and detention centers, and has subjected detainees to forced labor, torture, political indoctrination, and other severe human rights abuses.</text></paragraph> <paragraph id="H27675FE700654170B231AB0131ABF60D"><enum>(12)</enum><text>The State Department’s January 2021 genocide designation further cited the forced sterilization of Uyghur and other minority women, with the purpose of eliminating the minority population in Xinjiang.</text></paragraph> <paragraph id="H0E24EF9F47F645859D188FD9111609C6"><enum>(13)</enum><text>Media reporting has documented widespread and systemic efforts by PRC authorities to force Uyghur women to take contraceptives or to subject them to sterilization or abortion, threatening to detain those who do not comply.</text></paragraph> <paragraph id="H0616D5D50BB94F77A8011E89C68045C7"><enum>(14)</enum><text>In many detention facilities and labor camps across the PRC, Falun Gong prisoners of conscience have at times comprised the majority of the population, and have been said to receive the longest sentences and the worst treatment, including torture.</text></paragraph> <paragraph id="H4668F05A20C543EA94F3A22787BBCDF3"><enum>(15)</enum><text>The persecution and killing of religious and political prisoners for any purpose, including for the purpose of selling their organs for transplant, is an egregious and intolerable violation of the fundamental right to life.</text></paragraph> <paragraph id="HFFD1C7DAEA134596A7DF4026CFA3A639"><enum>(16)</enum><text>On November 18, 2020, the United States House of Representatives approved without objection H. Res. 697, which <quote>affirms the cultural and religious significance of the goal of genuine autonomy for the people of Tibet and the deep bond between the American and Tibetan people</quote>.</text></paragraph> <paragraph id="HBF56ACB6043547CAA2D0366D97B7D92E"><enum>(17)</enum><text>The Foreign Relations Authorization Act, Fiscal Years 1992 and 1993 established, with respect to Tibet, the following sense of Congress: <quote>It is the policy of the United States to oppose aggression and other illegal uses of force by one country against the sovereignty of another as a manner of acquiring territory, and to condemn violations of international law, including the illegal occupation of one country by another.</quote>.</text></paragraph> <paragraph id="H31DC76195B45475A873625023FF65B78"><enum>(18)</enum><text>Protecting United States capital markets against PRC-based companies that support the PLA’s modernization efforts or else aid and abet grotesque and barbaric violations of internationally recognized human rights is a national security imperative.</text></paragraph> <paragraph id="H191892AE432B4C57AF4466E23A10BC37"><enum>(19)</enum><text display-inline="yes-display-inline">As argued by the Uyghur Human Rights Project: <quote>[It is] still legal for shareholders to make profits from ownership of these complicit Chinese companies, some of which are publicly traded, including through <quote>emerging markets</quote> indexes. It is time for much more serious action: no U.S. persons should be permitted to hold the stocks and bonds of the Chinese companies that are under U.S. human rights sanctions.</quote>.</text></paragraph></section> <section id="HE5BAA5934520458BBA3218C227F7890D"><enum>102.</enum><header>Definitions; report on Chinese corporate human rights abusers with securities traded by United States persons</header> <subsection id="HAD774C4EC4364F2DAFEC10EABD7BC805"><enum>(a)</enum><header>Definitions</header><text>In this title:</text> <paragraph id="H2C18D54DCAE246C08F646A70776513C3"><enum>(1)</enum><header>Affiliate</header><text>The term <term>affiliate</term>—</text> <subparagraph id="H4A4FCB95D15542AAA5C6948A87B04450"><enum>(A)</enum><text display-inline="yes-display-inline">has the meaning given such term in section 230.405 of title 17, Code of Federal Regulations (as in effect on the date of the enactment of this Act);</text></subparagraph> <subparagraph id="H8886EBAF51794E7EA5DE0F5492C2B1F2"><enum>(B)</enum><text display-inline="yes-display-inline">means a person that is closely associated with another person typically in a dependent or subordinate position; or</text></subparagraph> <subparagraph id="H65B8C6241DC94BFA861B245278F38662"><enum>(C)</enum><text display-inline="yes-display-inline">means a person that has a common purpose or shared characteristics with another person.</text></subparagraph></paragraph> <paragraph id="HA3764EC585B14043B23F96C9A8AA1A79"><enum>(2)</enum><header>Appropriate committees of Congress</header><text>The term <term>appropriate committees of Congress</term> means—</text> <subparagraph id="HF561E55988A14C06B5FBEC0512CBD881"><enum>(A)</enum><text display-inline="yes-display-inline">the Committee on Foreign Relations, the Select Committee on Intelligence, the Committee on Banking, Housing, and Urban Affairs, and the Committee on Armed Services of the Senate; and</text></subparagraph> <subparagraph id="H3860EAA1D80E408884A79B73B550E43B"><enum>(B)</enum><text display-inline="yes-display-inline">the Committee on Foreign Affairs, the Permanent Select Committee on Intelligence, the Committee on Financial Services, and the Committee on Armed Services of the House of Representatives.</text></subparagraph></paragraph> <paragraph id="H87A2499875084259A9C23AB414BBD652" commented="no"><enum>(3)</enum><header>Covered entity</header><text>The term <term>covered entity</term>—</text> <subparagraph id="HFA340F4652E24102AE5E9426A406C6B8"><enum>(A)</enum><text>means an entity identified in the report required by subsection (b); and</text></subparagraph> <subparagraph id="H230801819BE3401481FEB57E79AAE267" commented="no"><enum>(B)</enum><text display-inline="yes-display-inline">includes any affiliate of such entity.</text></subparagraph></paragraph> <paragraph id="H260D1031275B4C6EABC1A2F29FA25FD9"><enum>(4)</enum><header>Entity</header><text>The term <term>entity</term> means a government or instrumentality of such government, partnership, association, trust, joint venture, corporation, group, subgroup, or other organization.</text></paragraph> <paragraph id="H545CEF6426BE465B93BA63BB67AFAD86"><enum>(5)</enum><header>Person</header><text>The term <term>person</term> means an individual or entity.</text></paragraph> <paragraph id="H72DA620E9E7A44ED9957BE70B36058B7"><enum>(6)</enum><header>PRC</header><text>The term <term>PRC</term> means the People’s Republic of China. </text></paragraph> <paragraph id="H62650BBBB53348BB89FFFF78775FAF1B" commented="no"><enum>(7)</enum><header>Publicly traded securities</header><text>The term <term>publicly traded securities</term> includes any security (as defined in section 3(a) of the Securities Exchange Act of 1934 (<external-xref legal-doc="usc" parsable-cite="usc/15/78">15 U.S.C. 78</external-xref>)), denominated in any currency that trades on a securities exchange or through the method of trading that is commonly referred to as <term>over-the-counter</term>, in any jurisdiction. </text></paragraph> <paragraph id="H87746BEA00414E69AE37CC9CD8A04452" commented="no"><enum>(8)</enum><header>Transaction</header><text>The term <term>transaction</term> means the purchase for value, or sale, of any publicly traded security.</text></paragraph> <paragraph id="HD183F42BA5F44770ABCAC567A9760CC0"><enum>(9)</enum><header>United States person</header><text>The term <term>United States person</term> means—</text> <subparagraph id="H153049429B354977976877BBD250C8CA"><enum>(A)</enum><text>any United States citizen, permanent resident alien, or entity (including foreign branches) organized under the laws of the United States or any jurisdiction within the United States; or</text></subparagraph> <subparagraph id="HA598435CD0B14423A12FE8C79617C82E"><enum>(B)</enum><text>any person in the United States.</text></subparagraph></paragraph></subsection> <subsection id="HBA288E9115DA4605B9331BFB41311F35"><enum>(b)</enum><header>Report</header> <paragraph id="HDD5344ABED214DC7B5E9C635811BAC4E"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Not later than 180 days after the date of the enactment of this Act, and annually thereafter for 5 years, the Secretary of State, in consultation with the Director of National Intelligence and the Secretary of the Treasury, shall submit to the appropriate committees of Congress a report that describes the risks posed to the United States by the presence in United States capital markets of entities incorporated in the PRC, or entities owned, controlled, or are entitled to a share of the profits of entities incorporated in the PRC.</text></paragraph> <paragraph id="H060317E84E6445A29D904D923FB17655"><enum>(2)</enum><header>Matters to be included</header><text>The report required by paragraph (1) shall—</text> <subparagraph id="HA1B8B4BFFC2F4DE5B0CE9E7C1B5345FB"><enum>(A)</enum><text>identify entities described in paragraph (1)—</text> <clause id="H3855F7350B95427DAA2851AC198AF2BD"><enum>(i)</enum><text>whose shares are publicly traded by United States persons;</text></clause> <clause id="H5A49C8B40BE148EB81EE7536948B37B5"><enum>(ii)</enum><text>based on the factors for consideration described in paragraph (3), have knowingly and materially contributed to—</text> <subclause id="HF615680FA4FD4676A513ABB35076E41B"><enum>(I)</enum><text>activities that both undermine and pose an unusual and extraordinary threat to the national security, foreign policy, or economy of the United States;</text></subclause> <subclause id="HD7B6B258BEAC43A19D338503EADCE8C5"><enum>(II)</enum><text>serious abuses of internationally recognized human rights; or</text></subclause> <subclause id="H6C5F18C77AF44D71872680B3F48D57C1"><enum>(III)</enum><text>a substantially increased financial risk exposure for United States-based investors;</text></subclause></clause></subparagraph> <subparagraph id="H20F250DF18A64A1BA629625E72D7CCF2"><enum>(B)</enum><text>describe the activities of entities identified pursuant to subparagraph (A) and the implications of such activities for the United States; </text></subparagraph> <subparagraph id="H1906929E60D34802B9C8B9C0EE323152"><enum>(C)</enum><text>develop policy recommendations for the United States Government, State governments, United States financial institutions, United States equity and debt exchanges, and other relevant stakeholders to address the risks posed by the presence in United States capital markets of entities identified pursuant to subparagraph (A); and</text></subparagraph> <subparagraph id="HAD5AA6DE28FC429CAA7DA331EA0CD074"><enum>(D)</enum><text display-inline="yes-display-inline">identify entities described in paragraph (1) that are included on the entity list.</text></subparagraph></paragraph> <paragraph id="H2FE9F85F9C4549938968DF69897E7644"><enum>(3)</enum><header>Factors for consideration</header><text>The factors for consideration described in this paragraph, with respect to an entity, are whether or the extent to which the entity—</text> <subparagraph id="H1DF5D717875E48E28E27EDEDC2308470"><enum>(A)</enum><text display-inline="yes-display-inline">has materially contributed to the development or manufacture, or sold or facilitated procurement by the People’s Liberation Army (PLA), of military equipment or component parts of such equipment;</text></subparagraph> <subparagraph id="H42D3EE8C695F494AA836D9D1323B64F8"><enum>(B)</enum><text>has contributed to the construction and militarization of features in the South China Sea;</text></subparagraph> <subparagraph id="HDF309CD0B5E940E79984EC7135FDA5C0"><enum>(C)</enum><text>has been sanctioned by the United States or has been determined to have conducted business with sanctioned entities;</text></subparagraph> <subparagraph id="H0221250269D04C13BCEC506C31CFADC5"><enum>(D)</enum><text>has engaged in an act or a series of acts of intellectual property theft;</text></subparagraph> <subparagraph id="HF67515C648B045219BB9AC2117DECE7A"><enum>(E)</enum><text>has engaged in corporate or economic espionage;</text></subparagraph> <subparagraph id="HB714A180818B47E5BAE678DF4072A214"><enum>(F)</enum><text>has contributed to the proliferation of nuclear or missile technology in violation of United Nations Security Council resolutions or United States sanctions;</text></subparagraph> <subparagraph id="H1A27E994CDAA4702B3B85CDD4853FF12"><enum>(G)</enum><text>has contributed to the repression of distinct religious and ethnic groups, including in the Uyghur or Tibet Autonomous Regions;</text></subparagraph> <subparagraph id="H5F858D30EE764B2C8947C82625C4B573"><enum>(H)</enum><text>has contributed to the repression of pro-democracy activists, journalists, and publishers in Hong Kong and throughout the PRC;</text></subparagraph> <subparagraph id="HB230892C4D774DCB8D00B67D03762710"><enum>(I)</enum><text>has contributed to the development of technologies that enable censorship directed or directly supported by the PRC government;</text></subparagraph> <subparagraph id="HB0B58FFC61C14467B8743B4A7C6C35C0" commented="no"><enum>(J)</enum><text>has failed to comply fully with—</text> <clause id="HC0DD750F655E4DCE88CAC0DF3A29C706" commented="no"><enum>(i)</enum><text display-inline="yes-display-inline">the securities laws (as defined in section 3(a) of the Securities Exchange Act of 1934 (<external-xref legal-doc="usc" parsable-cite="usc/15/78c">15 U.S.C. 78c</external-xref>));</text></clause> <clause id="H0D6A2C0A255D441D8A2E2A807509AB89" commented="no"><enum>(ii)</enum><text>a required audit by the Public Company Accounting Oversight Board; or</text></clause> <clause id="HB7E107B00FC94ABCBC0CDF603398E85B" commented="no"><enum>(iii)</enum><text>a material risk disclosure requirement of the Securities and Exchange Commission; or</text></clause></subparagraph> <subparagraph id="H9456ADD86A214105BE47F26A803788A4"><enum>(K)</enum><text>has contributed to other activities or behavior determined to be relevant by the President.</text></subparagraph></paragraph> <paragraph id="H1EFA1B1C7C774EDDBE166386D224D922"><enum>(4)</enum><header>Form</header><text>The report required by paragraph (1) shall be submitted in unclassified form, but may include a classified annex.</text></paragraph> <paragraph id="HB7A5886E6D1645A18A7E88DC5BBA79BD"><enum>(5)</enum><header>Publication</header><text>The unclassified portion of the report required by paragraph (1) shall be made accessible to the public online through publication on a relevant United States Government website and in the Federal Register.</text></paragraph> <paragraph id="H813B8D40CB2145FF89C3127076B087BC"><enum>(6)</enum><header>Entity list defined</header> <subparagraph id="HE825DDC7856347F58FF2E1657CEDFFD3"><enum>(A)</enum><header>In general</header><text>In paragraph (2)(D), the term <term>entity list</term> means the list maintained and set forth in Supplement No. 4 to part 744 of the Export Administration Regulations.</text></subparagraph> <subparagraph id="HAA6F5CEE7B044C2C814C85C34B9020D4"><enum>(B)</enum><header>Export Administration Regulations defined</header><text>In subparagraph (A), the term <term>Export Administration Regulations</term> means the regulations set forth in subchapter C of chapter VII of title 15, Code of Federal Regulations, or successor regulations. </text></subparagraph></paragraph></subsection></section> <section id="HA3B84C270FE04540AE257070192430B5"><enum>103.</enum><header>Chinese Corporate Human Rights Abusers List; sanctions</header> <subsection id="HA8C18FB7FB0147E28CA168AD8DCDDF9C"><enum>(a)</enum><header>Chinese Corporate Human Rights Abusers List</header> <paragraph id="HC18F25A1E7E94311ADBBCB78B01FA08B"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The Secretary of State, acting through the Under Secretary of State for Civilian Security, Democracy, and Human Rights and the head of the Office of the Under Secretary of State for Arms Control and International Security, shall, based on the most recent information available, identify each covered entity that—</text> <subparagraph id="HD6E8A2E1A20449228ABB1C61B40D7560" display-inline="no-display-inline"><enum>(A)</enum><text display-inline="yes-display-inline">is engaged in, complicit in, or otherwise responsible for, directly or indirectly, gross violations of internationally recognized human rights or serious human rights abuses in the PRC; or</text></subparagraph> <subparagraph id="H46901EF3A1024E199FEA3FF55F5EE03D"><enum>(B)</enum><text>undermines or poses an unusual and extraordinary threat to the national security, foreign policy, or economy of the United States, or otherwise presents an increased financial risk exposure for United States-based investors.</text></subparagraph></paragraph> <paragraph id="HE1D6B00832454A43829B903FF3D42465" display-inline="no-display-inline"><enum>(2)</enum><header>List</header><text>Not later than 180 days after the date of the enactment of this Act, and annually thereafter until December 31, 2030, the Secretary of State shall submit to appropriate committees of Congress a list, to be known as the <quote>Chinese Corporate Human Rights Abusers List</quote>, that—</text> <subparagraph id="H96183E0ABE55481CBEBD7B383615EF95"><enum>(A)</enum><text display-inline="yes-display-inline">includes each covered entity identified pursuant to paragraph (1); and</text></subparagraph> <subparagraph id="HDB01371983194DA18E15851059C88AF8"><enum>(B)</enum><text>includes, as applicable, an explanation as to why a covered entity that was previously identified pursuant to paragraph (1) is no longer so identified.</text></subparagraph></paragraph> <paragraph id="H2A886149C96A4FFA931CE5570BAB3E55"><enum>(3)</enum><header>Form</header><text>The list required by paragraph (2) shall be submitted in unclassified form, but may include a classified annex.</text></paragraph> <paragraph id="H14FFBAE4D4F047569B69C02564EBA136"><enum>(4)</enum><header>Publication</header><text display-inline="yes-display-inline">The unclassified portion of the list required by paragraph (2) shall be made accessible to the public online through publication on a relevant United States Government website and in the Federal Register.</text></paragraph> <paragraph id="H9B5D630827A84009A02E0F762FCE92FF" commented="no"><enum>(5)</enum><header>Transmission to other Federal officials</header><text>The Secretary of State shall, concurrently with the submission of the list required by paragraph (2), transmit a copy of such list to the Secretary of the Treasury, and the Director of National Intelligence. The Secretary of State shall also transmit a copy of such list to the Director of the Office of Foreign Assets Control of the Department of the Treasury for immediate implementation of the sanctions described in subsection (b) against those covered entities included on such list.</text></paragraph> <paragraph id="HE10366EF4F0F49919F2D3D4F9CD61249"><enum>(6)</enum><header>Revisions to list</header><text display-inline="yes-display-inline">The Secretary of State shall make additions or deletions to the most recent list required by paragraph (2) on an ongoing basis based on the latest information available.</text></paragraph> <paragraph id="HC41A9BA41C514E7D9ECEF4FF8BC2A1CD"><enum>(7)</enum><header>Consultation</header><text>The Secretary may consult with the head of any appropriate Federal department or agency in making the determinations described in paragraph (1) and shall transmit a copy of the list required by paragraph (2) to the head of any such Federal department or agency for purposes of such consultation.</text></paragraph></subsection> <subsection id="HEB202B1651DC4706937A22FAC8B68B9D"><enum>(b)</enum><header>Sanctions</header> <paragraph id="H3CCB5A1AA0134D5CB5D3CB523E649682" commented="no"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The purchase or sale by a United States person of any publicly traded securities, or any publicly traded securities that are derivative of such securities or are designed to provide investment exposure to such securities, of any covered entity designated by the Secretary of State for placement on the Chinese Corporate Human Rights Abusers List is prohibited. </text></paragraph> <paragraph id="HAEE11372C360421CA4BA3C4C6821E8B4" commented="no"><enum>(2)</enum><header>Effective date</header><text>The prohibitions in paragraph (1) shall take effect:</text> <subparagraph id="H86EF6CA97CDC4215B90A3F95DC632FC7" commented="no"><enum>(A)</enum><text>Beginning at 12:01 a.m. eastern daylight time on August 2, 2021, with respect to any covered entity included on the list required by subsection (a)(2) on such date. </text></subparagraph> <subparagraph id="H58B256B38BB94CA19CF14680DDAE5EB8" commented="no"><enum>(B)</enum><text display-inline="yes-display-inline">Beginning at 12:01 a.m. eastern daylight time on the date that is 60 days after the date of the determination in subsection (a) with respect to any covered entity subsequently included on the list required by subsection (a)(2).</text></subparagraph></paragraph> <paragraph id="H24EEDA5880484C40B4645E52953BFE6B" commented="no"><enum>(3)</enum><header>Divestment</header><text>The purchase or sale of publicly traded securities described in paragraph (1) made solely to effect the divestment, in whole or in part, of such securities by a United States person is permitted prior to:</text> <subparagraph id="HF1103B18CC8C416D896A3F3CA219B4C3" commented="no"><enum>(A)</enum><text display-inline="yes-display-inline">12:01 a.m. eastern daylight time on June 3, 2022, with respect to any covered entity included on the list required by subsection (a)(2) on such date.</text></subparagraph> <subparagraph id="H0DB5719F54E346F2B9F247272E350900" commented="no"><enum>(B)</enum><text display-inline="yes-display-inline">12:01 a.m. eastern daylight time on the date that is 365 days after the date of the determination in subsection (a) with respect to any covered entity subsequently included on the list required by subsection (a)(2).</text></subparagraph></paragraph> <paragraph id="H6DBB9B25878F4F48857AF89633F13580" commented="no"><enum>(4)</enum><header>Rule of application</header><text>This subsection shall apply except to the extent provided by statutes, or in regulations, orders, directives, or licenses that may be issued pursuant to this Act, and notwithstanding any contract entered into or any license or permit granted before the date of this Act.</text></paragraph> <paragraph id="HAC8EAFFA365A4098A4E08F2205B5E572" commented="no"><enum>(5)</enum><header>Evasion of sanctions</header> <subparagraph id="HF86F967F23274ED4AF30EE9855B0CF68" commented="no"><enum>(A)</enum><header>In general</header><text>The following actions are prohibited:</text> <clause id="H0141202F4AD14738AA4650FD6CA3FC39"><enum>(i)</enum><text>Any transactions by a United States person or within the United States that evades or avoids, has the purpose of evading or avoiding, causes a violation of, or attempts to violate the prohibitions set forth in this Act.</text></clause> <clause id="HBAB9885AF8E6445CA09BC44916E469DC" commented="no"><enum>(ii)</enum><text>Any conspiracy formed to violate any of the prohibitions set forth in this Act.</text></clause></subparagraph> <subparagraph id="H1C758B24FEF2428183B342E52B1DE6AE" commented="no"><enum>(B)</enum><header>Penalties</header><text>The authorization provided in paragraph (6) may be used to apply penalties provided for in subsections (b) and (c) of section 206 of the International Emergency Economic Powers Act (<external-xref legal-doc="usc" parsable-cite="usc/50/1705">50 U.S.C. 1705</external-xref>) with respect to a person that knowingly violates, attempts to violate, conspires to violate, or causes a violation of regulations promulgated under paragraph (6) to the same extent that such penalties apply to a person that knowingly commits an unlawful act described in section 206(a) of that Act.</text></subparagraph></paragraph> <paragraph id="HC27B01BF4C754D9CB4E29A2E4D244223"><enum>(6)</enum><header>Authorization</header> <subparagraph id="H2773A79EDE1F43E2AC83A00072EAC284"><enum>(A)</enum><header>In general</header><text>The Secretary of the Treasury, after consultation with the Secretary of State, the Secretary of Defense, the Director of National Intelligence, and the heads of other executive departments and agencies as deemed appropriate by the Secretary of the Treasury, is hereby authorized to take such actions, including the promulgation of rules and regulations, and to employ all powers granted to the President by the International Emergency Economic Powers Act, to carry out the purposes of this title. The Secretary of the Treasury may, consistent with applicable law, redelegate any of these functions within the Department of the Treasury. All departments and agencies shall take all appropriate measures within their authority to carry out the provisions of this Act.</text></subparagraph> <subparagraph id="H30F193FF2ED74ED09E45425A2B46E3E9"><enum>(B)</enum><header>Rules and regulations</header><text>Rules and regulations issued pursuant to this Act may, among other things, establish procedures to license transactions otherwise prohibited pursuant to this Act. But prior to issuing any license under this Act, the Secretary of the Treasury shall consult with the Secretary of State, the Secretary of Defense, and the Director of National Intelligence.</text></subparagraph></paragraph></subsection></section>

117 HR 5286 IH: Protecting Americans from Corporate Human Rights Abusers Act U.S. House of Representatives 2021-09-17 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

Short title; table of contents; purpose

(a)

Short title

This Act may be cited as the

Protecting Americans from Corporate Human Rights Abusers Act

. (b)

Table of contents

The table of contents for this Act is as follows:

Sec. 1. Short title; table of contents; purpose.

Title I—Chinese Corporate Human Rights Abusers List

Sec. 101. Findings.

Sec. 102. Definitions; report on Chinese corporate human rights abusers with securities traded by United States persons.

Sec. 103. Chinese Corporate Human Rights Abusers List; sanctions.

Title II—Sanctions against Communist Chinese military companies, Chinese military companies, and Chinese military-industrial complex companies

Sec. 201. Definitions.

Sec. 202. Sanctions for communist Chinese military companies and Chinese military companies.

Sec. 203. Limitation on judicial review.

(c)

Purpose

The purpose of this Act is to codify into law the provisions of Executive Order 14032 of June 3, 2021 (86 Fed. Reg. 30145; relating to Addressing the Threat From Securities Investments That Finance Certain Companies of the People’s Republic of China), as in effect on the date of the enactment of this Act.

<enum>I</enum><header>Chinese Corporate Human Rights Abusers List</header> <section id="H8C7494E7A08C444190B74AEC8675E174"><enum>101.</enum><header>Findings</header><text display-inline="no-display-inline">Congress finds the following:</text> <paragraph id="HD8957F89CAA54ABA9FF478CE8DC3E7A6"><enum>(1)</enum><text display-inline="yes-display-inline">In its 2020 report to Congress, the bipartisan United States-China Economic and Security Review Commission issued the following key findings:</text> <subparagraph id="H73EEC74F93EF4DB3B84DC93A58E1D0DF"><enum>(A)</enum><text>As Beijing strategically opens its financial sector to secure foreign capital and global investment indices shift asset allocations toward Chinese securities, United States investors’ exposure to the unique and significant risks accumulated in China’s capital markets rises. These risks center around the opacity of China’s financial system and Beijing’s interference in market activity to advance its political objectives.</text></subparagraph> <subparagraph id="H6076AEDEEF174591B5254F35A39389B2"><enum>(B)</enum><text>Increased financial exposure to China threatens to undermine the efforts of the United States to defend against China’s unfair economic practices and protect the policy interests of the United States. Several Chinese companies included in global investment indices are subject to United States export controls but not investment restrictions. This mismatch enables problematic Chinese companies to continue raising United States capital and reduces the strength with which the United States can defend against companies that threaten national security.</text></subparagraph> <subparagraph id="HFB49301B1F7149698D116E8B9655DDEC"><enum>(C)</enum><text>Beijing continues to deny United States audit regulators full visibility into the financials of U.S.-listed Chinese companies in line with United States accounting standards. These evasions from effective regulation and oversight, together with United States-listed Chinese companies’ complex ownership structures, deprive United States investors of both full transparency and the opportunity for legal redress in cases of accounting fraud, eroding the integrity of United States capital markets.</text></subparagraph></paragraph> <paragraph id="H3601DCD5D7274FAABECDCE068E75BAFD"><enum>(2)</enum><text>The Chinese Communist Party’s commitment to their Military-Civil Fusion development strategy, which supports the modernization goals of the People’s Liberation Army (PLA) by ensuring its access to advanced technologies and expertise acquired and developed by even those Chinese companies, universities, and research programs that appear to be civilian entities, remains a grave threat to the national security of the United States.</text></paragraph> <paragraph id="H42468CD4DA7647518978A475CFF3F96F"><enum>(3)</enum><text>The efforts of the Government of the United States to stymie China’s utilization of United States capital markets is an ongoing, multi-agency, and decades-long effort. The colloquially titled Section 1237 List of the Strom Thurmond National Defense Authorization Act for Fiscal Year 1999, as well as the Section 1260H List of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021, both highlight companies who pose a serious threat to the national security of the United States.</text></paragraph> <paragraph id="H1274A6FFDA4D4D58812CC5E9CA94C5A3"><enum>(4)</enum><text>On June 3, 2021, the Department of Defense released a list of 47 entities identified as Chinese military companies operating in the United States in accordance with section 1260H of the William M. (<quote>Mac</quote>) Thornberry National Defense Authorization Act for Fiscal Year 2021 (<external-xref legal-doc="public-law" parsable-cite="pl/116/283">Public Law 116–283</external-xref>).</text></paragraph> <paragraph id="HE2AC9BDB8ECE4851B42BF9186FA1C2AD"><enum>(5)</enum><text>On January 14, 2021, the Department of Defense released the names of additional <quote>Communist Chinese military companies</quote> operating directly or indirectly in the United States in accordance with the statutory requirement of section 1237 of the National Defense Authorization Act for Fiscal Year 1999. Those companies included: Advanced Micro-Fabrication Equipment Inc. (AMEC), Luokung Technology Corp. (LKCO), Xiaomi Corporation, Beijing Zhongguancun Development Investment Center, GOWIN Semiconductor Corp, Grand China Air Co. Ltd. (GCAC), Global Tone Communication Technology Co. Ltd. (GTCOM), China National Aviation Holding Co. Ltd. (CNAH), and Commercial Aircraft Corporation of China, Ltd. (COMAC).</text></paragraph> <paragraph id="H662264C69C834C579D81465379E3084D"><enum>(6)</enum><text>On March 12, 2021, the United States District Court for the District of Columbia issued an order in Xiaomi Corporation v. Department of Defense (Case No. 1:21–cv–00280–RC) that forestalled the Defense Department’s designation of the Xiaomi Corporation as a Communist Chinese military company. On May 6, 2021, the Nasdaq-listed Luokung Technology Corporation became the second China-based company to avoid sanctions imposed under Executive Order 13959. These companies have been able to avoid sanctions because the Chinese Communist Party actively blocks United States Government agencies from obtaining information relevant to determining the ownership and control of China-based enterprises.</text></paragraph> <paragraph id="H9C774A2BBAF7480E9BF910B9235CAFBC"><enum>(7)</enum><text display-inline="yes-display-inline">Several Chinese military or military related companies, as well as surveillance and technology companies, including Hikvision, a major manufacturer of video surveillance equipment, materially contribute to either the ongoing genocide in Xinjiang or to other gross violations of internationally recognized human rights across the People’s Republic of China (PRC).</text></paragraph> <paragraph id="H33DEA40616CE44DF9C85997AB7B0D7E6"><enum>(8)</enum><text>On January 19, 2021, then-Secretary of State Michael R. Pompeo determined that the Chinese Communist Party (CCP) has committed genocide against the predominantly Muslim Uyghurs and other ethnic and religious minority groups in Xinjiang.</text></paragraph> <paragraph id="HCF951BECA64745EB846564F13081E731"><enum>(9)</enum><text>Then-Secretary Pompeo’s designation cited the State Department’s exhaustive documentation of CCP human rights abuses in Xinjiang, indicating that <quote>since at least March 2017, local authorities dramatically escalated their decades-long campaign of repression against Uyghur Muslims and members of other ethnic and religious minority groups, including ethnic Kazakhs and ethnic Kyrgyz</quote>.</text></paragraph> <paragraph id="H44988370E63C4AA99C079539B84A066D"><enum>(10)</enum><text>The genocide determination also cited the CCP’s regular dehumanization of the Uyghur people in Xinjiang, including by labeling them as <quote>malignant tumors</quote>, citing the Islamic faith as a <quote>communicable plague</quote>, and justifying the grotesque treatment of the Uyghur people in stark, unsettling terms: <quote>you can’t uproot all the weeds hidden among the crops in the field one-by-one; you need to spray chemicals to kill them all</quote>.</text></paragraph> <paragraph id="H55962987662C4DDFA050DB5A64A375DE"><enum>(11)</enum><text>On April 21, 2021, the United States House Committee on Foreign Affairs approved without objection H.R. 1155, which affirmed that the PRC, since 2017, has arbitrarily detained as many as 1.8 million Uyghurs, Kazakhs, Kyrgyz, and members of other Muslim minority groups in a system of extrajudicial mass internment camps, in addition to arbitrarily detaining many in formal prisons and detention centers, and has subjected detainees to forced labor, torture, political indoctrination, and other severe human rights abuses.</text></paragraph> <paragraph id="H27675FE700654170B231AB0131ABF60D"><enum>(12)</enum><text>The State Department’s January 2021 genocide designation further cited the forced sterilization of Uyghur and other minority women, with the purpose of eliminating the minority population in Xinjiang.</text></paragraph> <paragraph id="H0E24EF9F47F645859D188FD9111609C6"><enum>(13)</enum><text>Media reporting has documented widespread and systemic efforts by PRC authorities to force Uyghur women to take contraceptives or to subject them to sterilization or abortion, threatening to detain those who do not comply.</text></paragraph> <paragraph id="H0616D5D50BB94F77A8011E89C68045C7"><enum>(14)</enum><text>In many detention facilities and labor camps across the PRC, Falun Gong prisoners of conscience have at times comprised the majority of the population, and have been said to receive the longest sentences and the worst treatment, including torture.</text></paragraph> <paragraph id="H4668F05A20C543EA94F3A22787BBCDF3"><enum>(15)</enum><text>The persecution and killing of religious and political prisoners for any purpose, including for the purpose of selling their organs for transplant, is an egregious and intolerable violation of the fundamental right to life.</text></paragraph> <paragraph id="HFFD1C7DAEA134596A7DF4026CFA3A639"><enum>(16)</enum><text>On November 18, 2020, the United States House of Representatives approved without objection H. Res. 697, which <quote>affirms the cultural and religious significance of the goal of genuine autonomy for the people of Tibet and the deep bond between the American and Tibetan people</quote>.</text></paragraph> <paragraph id="HBF56ACB6043547CAA2D0366D97B7D92E"><enum>(17)</enum><text>The Foreign Relations Authorization Act, Fiscal Years 1992 and 1993 established, with respect to Tibet, the following sense of Congress: <quote>It is the policy of the United States to oppose aggression and other illegal uses of force by one country against the sovereignty of another as a manner of acquiring territory, and to condemn violations of international law, including the illegal occupation of one country by another.</quote>.</text></paragraph> <paragraph id="H31DC76195B45475A873625023FF65B78"><enum>(18)</enum><text>Protecting United States capital markets against PRC-based companies that support the PLA’s modernization efforts or else aid and abet grotesque and barbaric violations of internationally recognized human rights is a national security imperative.</text></paragraph> <paragraph id="H191892AE432B4C57AF4466E23A10BC37"><enum>(19)</enum><text display-inline="yes-display-inline">As argued by the Uyghur Human Rights Project: <quote>[It is] still legal for shareholders to make profits from ownership of these complicit Chinese companies, some of which are publicly traded, including through <quote>emerging markets</quote> indexes. It is time for much more serious action: no U.S. persons should be permitted to hold the stocks and bonds of the Chinese companies that are under U.S. human rights sanctions.</quote>.</text></paragraph></section> <section id="HE5BAA5934520458BBA3218C227F7890D"><enum>102.</enum><header>Definitions; report on Chinese corporate human rights abusers with securities traded by United States persons</header> <subsection id="HAD774C4EC4364F2DAFEC10EABD7BC805"><enum>(a)</enum><header>Definitions</header><text>In this title:</text> <paragraph id="H2C18D54DCAE246C08F646A70776513C3"><enum>(1)</enum><header>Affiliate</header><text>The term <term>affiliate</term>—</text> <subparagraph id="H4A4FCB95D15542AAA5C6948A87B04450"><enum>(A)</enum><text display-inline="yes-display-inline">has the meaning given such term in section 230.405 of title 17, Code of Federal Regulations (as in effect on the date of the enactment of this Act);</text></subparagraph> <subparagraph id="H8886EBAF51794E7EA5DE0F5492C2B1F2"><enum>(B)</enum><text display-inline="yes-display-inline">means a person that is closely associated with another person typically in a dependent or subordinate position; or</text></subparagraph> <subparagraph id="H65B8C6241DC94BFA861B245278F38662"><enum>(C)</enum><text display-inline="yes-display-inline">means a person that has a common purpose or shared characteristics with another person.</text></subparagraph></paragraph> <paragraph id="HA3764EC585B14043B23F96C9A8AA1A79"><enum>(2)</enum><header>Appropriate committees of Congress</header><text>The term <term>appropriate committees of Congress</term> means—</text> <subparagraph id="HF561E55988A14C06B5FBEC0512CBD881"><enum>(A)</enum><text display-inline="yes-display-inline">the Committee on Foreign Relations, the Select Committee on Intelligence, the Committee on Banking, Housing, and Urban Affairs, and the Committee on Armed Services of the Senate; and</text></subparagraph> <subparagraph id="H3860EAA1D80E408884A79B73B550E43B"><enum>(B)</enum><text display-inline="yes-display-inline">the Committee on Foreign Affairs, the Permanent Select Committee on Intelligence, the Committee on Financial Services, and the Committee on Armed Services of the House of Representatives.</text></subparagraph></paragraph> <paragraph id="H87A2499875084259A9C23AB414BBD652" commented="no"><enum>(3)</enum><header>Covered entity</header><text>The term <term>covered entity</term>—</text> <subparagraph id="HFA340F4652E24102AE5E9426A406C6B8"><enum>(A)</enum><text>means an entity identified in the report required by subsection (b); and</text></subparagraph> <subparagraph id="H230801819BE3401481FEB57E79AAE267" commented="no"><enum>(B)</enum><text display-inline="yes-display-inline">includes any affiliate of such entity.</text></subparagraph></paragraph> <paragraph id="H260D1031275B4C6EABC1A2F29FA25FD9"><enum>(4)</enum><header>Entity</header><text>The term <term>entity</term> means a government or instrumentality of such government, partnership, association, trust, joint venture, corporation, group, subgroup, or other organization.</text></paragraph> <paragraph id="H545CEF6426BE465B93BA63BB67AFAD86"><enum>(5)</enum><header>Person</header><text>The term <term>person</term> means an individual or entity.</text></paragraph> <paragraph id="H72DA620E9E7A44ED9957BE70B36058B7"><enum>(6)</enum><header>PRC</header><text>The term <term>PRC</term> means the People’s Republic of China. </text></paragraph> <paragraph id="H62650BBBB53348BB89FFFF78775FAF1B" commented="no"><enum>(7)</enum><header>Publicly traded securities</header><text>The term <term>publicly traded securities</term> includes any security (as defined in section 3(a) of the Securities Exchange Act of 1934 (<external-xref legal-doc="usc" parsable-cite="usc/15/78">15 U.S.C. 78</external-xref>)), denominated in any currency that trades on a securities exchange or through the method of trading that is commonly referred to as <term>over-the-counter</term>, in any jurisdiction. </text></paragraph> <paragraph id="H87746BEA00414E69AE37CC9CD8A04452" commented="no"><enum>(8)</enum><header>Transaction</header><text>The term <term>transaction</term> means the purchase for value, or sale, of any publicly traded security.</text></paragraph> <paragraph id="HD183F42BA5F44770ABCAC567A9760CC0"><enum>(9)</enum><header>United States person</header><text>The term <term>United States person</term> means—</text> <subparagraph id="H153049429B354977976877BBD250C8CA"><enum>(A)</enum><text>any United States citizen, permanent resident alien, or entity (including foreign branches) organized under the laws of the United States or any jurisdiction within the United States; or</text></subparagraph> <subparagraph id="HA598435CD0B14423A12FE8C79617C82E"><enum>(B)</enum><text>any person in the United States.</text></subparagraph></paragraph></subsection> <subsection id="HBA288E9115DA4605B9331BFB41311F35"><enum>(b)</enum><header>Report</header> <paragraph id="HDD5344ABED214DC7B5E9C635811BAC4E"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Not later than 180 days after the date of the enactment of this Act, and annually thereafter for 5 years, the Secretary of State, in consultation with the Director of National Intelligence and the Secretary of the Treasury, shall submit to the appropriate committees of Congress a report that describes the risks posed to the United States by the presence in United States capital markets of entities incorporated in the PRC, or entities owned, controlled, or are entitled to a share of the profits of entities incorporated in the PRC.</text></paragraph> <paragraph id="H060317E84E6445A29D904D923FB17655"><enum>(2)</enum><header>Matters to be included</header><text>The report required by paragraph (1) shall—</text> <subparagraph id="HA1B8B4BFFC2F4DE5B0CE9E7C1B5345FB"><enum>(A)</enum><text>identify entities described in paragraph (1)—</text> <clause id="H3855F7350B95427DAA2851AC198AF2BD"><enum>(i)</enum><text>whose shares are publicly traded by United States persons;</text></clause> <clause id="H5A49C8B40BE148EB81EE7536948B37B5"><enum>(ii)</enum><text>based on the factors for consideration described in paragraph (3), have knowingly and materially contributed to—</text> <subclause id="HF615680FA4FD4676A513ABB35076E41B"><enum>(I)</enum><text>activities that both undermine and pose an unusual and extraordinary threat to the national security, foreign policy, or economy of the United States;</text></subclause> <subclause id="HD7B6B258BEAC43A19D338503EADCE8C5"><enum>(II)</enum><text>serious abuses of internationally recognized human rights; or</text></subclause> <subclause id="H6C5F18C77AF44D71872680B3F48D57C1"><enum>(III)</enum><text>a substantially increased financial risk exposure for United States-based investors;</text></subclause></clause></subparagraph> <subparagraph id="H20F250DF18A64A1BA629625E72D7CCF2"><enum>(B)</enum><text>describe the activities of entities identified pursuant to subparagraph (A) and the implications of such activities for the United States; </text></subparagraph> <subparagraph id="H1906929E60D34802B9C8B9C0EE323152"><enum>(C)</enum><text>develop policy recommendations for the United States Government, State governments, United States financial institutions, United States equity and debt exchanges, and other relevant stakeholders to address the risks posed by the presence in United States capital markets of entities identified pursuant to subparagraph (A); and</text></subparagraph> <subparagraph id="HAD5AA6DE28FC429CAA7DA331EA0CD074"><enum>(D)</enum><text display-inline="yes-display-inline">identify entities described in paragraph (1) that are included on the entity list.</text></subparagraph></paragraph> <paragraph id="H2FE9F85F9C4549938968DF69897E7644"><enum>(3)</enum><header>Factors for consideration</header><text>The factors for consideration described in this paragraph, with respect to an entity, are whether or the extent to which the entity—</text> <subparagraph id="H1DF5D717875E48E28E27EDEDC2308470"><enum>(A)</enum><text display-inline="yes-display-inline">has materially contributed to the development or manufacture, or sold or facilitated procurement by the People’s Liberation Army (PLA), of military equipment or component parts of such equipment;</text></subparagraph> <subparagraph id="H42D3EE8C695F494AA836D9D1323B64F8"><enum>(B)</enum><text>has contributed to the construction and militarization of features in the South China Sea;</text></subparagraph> <subparagraph id="HDF309CD0B5E940E79984EC7135FDA5C0"><enum>(C)</enum><text>has been sanctioned by the United States or has been determined to have conducted business with sanctioned entities;</text></subparagraph> <subparagraph id="H0221250269D04C13BCEC506C31CFADC5"><enum>(D)</enum><text>has engaged in an act or a series of acts of intellectual property theft;</text></subparagraph> <subparagraph id="HF67515C648B045219BB9AC2117DECE7A"><enum>(E)</enum><text>has engaged in corporate or economic espionage;</text></subparagraph> <subparagraph id="HB714A180818B47E5BAE678DF4072A214"><enum>(F)</enum><text>has contributed to the proliferation of nuclear or missile technology in violation of United Nations Security Council resolutions or United States sanctions;</text></subparagraph> <subparagraph id="H1A27E994CDAA4702B3B85CDD4853FF12"><enum>(G)</enum><text>has contributed to the repression of distinct religious and ethnic groups, including in the Uyghur or Tibet Autonomous Regions;</text></subparagraph> <subparagraph id="H5F858D30EE764B2C8947C82625C4B573"><enum>(H)</enum><text>has contributed to the repression of pro-democracy activists, journalists, and publishers in Hong Kong and throughout the PRC;</text></subparagraph> <subparagraph id="HB230892C4D774DCB8D00B67D03762710"><enum>(I)</enum><text>has contributed to the development of technologies that enable censorship directed or directly supported by the PRC government;</text></subparagraph> <subparagraph id="HB0B58FFC61C14467B8743B4A7C6C35C0" commented="no"><enum>(J)</enum><text>has failed to comply fully with—</text> <clause id="HC0DD750F655E4DCE88CAC0DF3A29C706" commented="no"><enum>(i)</enum><text display-inline="yes-display-inline">the securities laws (as defined in section 3(a) of the Securities Exchange Act of 1934 (<external-xref legal-doc="usc" parsable-cite="usc/15/78c">15 U.S.C. 78c</external-xref>));</text></clause> <clause id="H0D6A2C0A255D441D8A2E2A807509AB89" commented="no"><enum>(ii)</enum><text>a required audit by the Public Company Accounting Oversight Board; or</text></clause> <clause id="HB7E107B00FC94ABCBC0CDF603398E85B" commented="no"><enum>(iii)</enum><text>a material risk disclosure requirement of the Securities and Exchange Commission; or</text></clause></subparagraph> <subparagraph id="H9456ADD86A214105BE47F26A803788A4"><enum>(K)</enum><text>has contributed to other activities or behavior determined to be relevant by the President.</text></subparagraph></paragraph> <paragraph id="H1EFA1B1C7C774EDDBE166386D224D922"><enum>(4)</enum><header>Form</header><text>The report required by paragraph (1) shall be submitted in unclassified form, but may include a classified annex.</text></paragraph> <paragraph id="HB7A5886E6D1645A18A7E88DC5BBA79BD"><enum>(5)</enum><header>Publication</header><text>The unclassified portion of the report required by paragraph (1) shall be made accessible to the public online through publication on a relevant United States Government website and in the Federal Register.</text></paragraph> <paragraph id="H813B8D40CB2145FF89C3127076B087BC"><enum>(6)</enum><header>Entity list defined</header> <subparagraph id="HE825DDC7856347F58FF2E1657CEDFFD3"><enum>(A)</enum><header>In general</header><text>In paragraph (2)(D), the term <term>entity list</term> means the list maintained and set forth in Supplement No. 4 to part 744 of the Export Administration Regulations.</text></subparagraph> <subparagraph id="HAA6F5CEE7B044C2C814C85C34B9020D4"><enum>(B)</enum><header>Export Administration Regulations defined</header><text>In subparagraph (A), the term <term>Export Administration Regulations</term> means the regulations set forth in subchapter C of chapter VII of title 15, Code of Federal Regulations, or successor regulations. </text></subparagraph></paragraph></subsection></section> <section id="HA3B84C270FE04540AE257070192430B5"><enum>103.</enum><header>Chinese Corporate Human Rights Abusers List; sanctions</header> <subsection id="HA8C18FB7FB0147E28CA168AD8DCDDF9C"><enum>(a)</enum><header>Chinese Corporate Human Rights Abusers List</header> <paragraph id="HC18F25A1E7E94311ADBBCB78B01FA08B"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The Secretary of State, acting through the Under Secretary of State for Civilian Security, Democracy, and Human Rights and the head of the Office of the Under Secretary of State for Arms Control and International Security, shall, based on the most recent information available, identify each covered entity that—</text> <subparagraph id="HD6E8A2E1A20449228ABB1C61B40D7560" display-inline="no-display-inline"><enum>(A)</enum><text display-inline="yes-display-inline">is engaged in, complicit in, or otherwise responsible for, directly or indirectly, gross violations of internationally recognized human rights or serious human rights abuses in the PRC; or</text></subparagraph> <subparagraph id="H46901EF3A1024E199FEA3FF55F5EE03D"><enum>(B)</enum><text>undermines or poses an unusual and extraordinary threat to the national security, foreign policy, or economy of the United States, or otherwise presents an increased financial risk exposure for United States-based investors.</text></subparagraph></paragraph> <paragraph id="HE1D6B00832454A43829B903FF3D42465" display-inline="no-display-inline"><enum>(2)</enum><header>List</header><text>Not later than 180 days after the date of the enactment of this Act, and annually thereafter until December 31, 2030, the Secretary of State shall submit to appropriate committees of Congress a list, to be known as the <quote>Chinese Corporate Human Rights Abusers List</quote>, that—</text> <subparagraph id="H96183E0ABE55481CBEBD7B383615EF95"><enum>(A)</enum><text display-inline="yes-display-inline">includes each covered entity identified pursuant to paragraph (1); and</text></subparagraph> <subparagraph id="HDB01371983194DA18E15851059C88AF8"><enum>(B)</enum><text>includes, as applicable, an explanation as to why a covered entity that was previously identified pursuant to paragraph (1) is no longer so identified.</text></subparagraph></paragraph> <paragraph id="H2A886149C96A4FFA931CE5570BAB3E55"><enum>(3)</enum><header>Form</header><text>The list required by paragraph (2) shall be submitted in unclassified form, but may include a classified annex.</text></paragraph> <paragraph id="H14FFBAE4D4F047569B69C02564EBA136"><enum>(4)</enum><header>Publication</header><text display-inline="yes-display-inline">The unclassified portion of the list required by paragraph (2) shall be made accessible to the public online through publication on a relevant United States Government website and in the Federal Register.</text></paragraph> <paragraph id="H9B5D630827A84009A02E0F762FCE92FF" commented="no"><enum>(5)</enum><header>Transmission to other Federal officials</header><text>The Secretary of State shall, concurrently with the submission of the list required by paragraph (2), transmit a copy of such list to the Secretary of the Treasury, and the Director of National Intelligence. The Secretary of State shall also transmit a copy of such list to the Director of the Office of Foreign Assets Control of the Department of the Treasury for immediate implementation of the sanctions described in subsection (b) against those covered entities included on such list.</text></paragraph> <paragraph id="HE10366EF4F0F49919F2D3D4F9CD61249"><enum>(6)</enum><header>Revisions to list</header><text display-inline="yes-display-inline">The Secretary of State shall make additions or deletions to the most recent list required by paragraph (2) on an ongoing basis based on the latest information available.</text></paragraph> <paragraph id="HC41A9BA41C514E7D9ECEF4FF8BC2A1CD"><enum>(7)</enum><header>Consultation</header><text>The Secretary may consult with the head of any appropriate Federal department or agency in making the determinations described in paragraph (1) and shall transmit a copy of the list required by paragraph (2) to the head of any such Federal department or agency for purposes of such consultation.</text></paragraph></subsection> <subsection id="HEB202B1651DC4706937A22FAC8B68B9D"><enum>(b)</enum><header>Sanctions</header> <paragraph id="H3CCB5A1AA0134D5CB5D3CB523E649682" commented="no"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The purchase or sale by a United States person of any publicly traded securities, or any publicly traded securities that are derivative of such securities or are designed to provide investment exposure to such securities, of any covered entity designated by the Secretary of State for placement on the Chinese Corporate Human Rights Abusers List is prohibited. </text></paragraph> <paragraph id="HAEE11372C360421CA4BA3C4C6821E8B4" commented="no"><enum>(2)</enum><header>Effective date</header><text>The prohibitions in paragraph (1) shall take effect:</text> <subparagraph id="H86EF6CA97CDC4215B90A3F95DC632FC7" commented="no"><enum>(A)</enum><text>Beginning at 12:01 a.m. eastern daylight time on August 2, 2021, with respect to any covered entity included on the list required by subsection (a)(2) on such date. </text></subparagraph> <subparagraph id="H58B256B38BB94CA19CF14680DDAE5EB8" commented="no"><enum>(B)</enum><text display-inline="yes-display-inline">Beginning at 12:01 a.m. eastern daylight time on the date that is 60 days after the date of the determination in subsection (a) with respect to any covered entity subsequently included on the list required by subsection (a)(2).</text></subparagraph></paragraph> <paragraph id="H24EEDA5880484C40B4645E52953BFE6B" commented="no"><enum>(3)</enum><header>Divestment</header><text>The purchase or sale of publicly traded securities described in paragraph (1) made solely to effect the divestment, in whole or in part, of such securities by a United States person is permitted prior to:</text> <subparagraph id="HF1103B18CC8C416D896A3F3CA219B4C3" commented="no"><enum>(A)</enum><text display-inline="yes-display-inline">12:01 a.m. eastern daylight time on June 3, 2022, with respect to any covered entity included on the list required by subsection (a)(2) on such date.</text></subparagraph> <subparagraph id="H0DB5719F54E346F2B9F247272E350900" commented="no"><enum>(B)</enum><text display-inline="yes-display-inline">12:01 a.m. eastern daylight time on the date that is 365 days after the date of the determination in subsection (a) with respect to any covered entity subsequently included on the list required by subsection (a)(2).</text></subparagraph></paragraph> <paragraph id="H6DBB9B25878F4F48857AF89633F13580" commented="no"><enum>(4)</enum><header>Rule of application</header><text>This subsection shall apply except to the extent provided by statutes, or in regulations, orders, directives, or licenses that may be issued pursuant to this Act, and notwithstanding any contract entered into or any license or permit granted before the date of this Act.</text></paragraph> <paragraph id="HAC8EAFFA365A4098A4E08F2205B5E572" commented="no"><enum>(5)</enum><header>Evasion of sanctions</header> <subparagraph id="HF86F967F23274ED4AF30EE9855B0CF68" commented="no"><enum>(A)</enum><header>In general</header><text>The following actions are prohibited:</text> <clause id="H0141202F4AD14738AA4650FD6CA3FC39"><enum>(i)</enum><text>Any transactions by a United States person or within the United States that evades or avoids, has the purpose of evading or avoiding, causes a violation of, or attempts to violate the prohibitions set forth in this Act.</text></clause> <clause id="HBAB9885AF8E6445CA09BC44916E469DC" commented="no"><enum>(ii)</enum><text>Any conspiracy formed to violate any of the prohibitions set forth in this Act.</text></clause></subparagraph> <subparagraph id="H1C758B24FEF2428183B342E52B1DE6AE" commented="no"><enum>(B)</enum><header>Penalties</header><text>The authorization provided in paragraph (6) may be used to apply penalties provided for in subsections (b) and (c) of section 206 of the International Emergency Economic Powers Act (<external-xref legal-doc="usc" parsable-cite="usc/50/1705">50 U.S.C. 1705</external-xref>) with respect to a person that knowingly violates, attempts to violate, conspires to violate, or causes a violation of regulations promulgated under paragraph (6) to the same extent that such penalties apply to a person that knowingly commits an unlawful act described in section 206(a) of that Act.</text></subparagraph></paragraph> <paragraph id="HC27B01BF4C754D9CB4E29A2E4D244223"><enum>(6)</enum><header>Authorization</header> <subparagraph id="H2773A79EDE1F43E2AC83A00072EAC284"><enum>(A)</enum><header>In general</header><text>The Secretary of the Treasury, after consultation with the Secretary of State, the Secretary of Defense, the Director of National Intelligence, and the heads of other executive departments and agencies as deemed appropriate by the Secretary of the Treasury, is hereby authorized to take such actions, including the promulgation of rules and regulations, and to employ all powers granted to the President by the International Emergency Economic Powers Act, to carry out the purposes of this title. The Secretary of the Treasury may, consistent with applicable law, redelegate any of these functions within the Department of the Treasury. All departments and agencies shall take all appropriate measures within their authority to carry out the provisions of this Act.</text></subparagraph> <subparagraph id="H30F193FF2ED74ED09E45425A2B46E3E9"><enum>(B)</enum><header>Rules and regulations</header><text>Rules and regulations issued pursuant to this Act may, among other things, establish procedures to license transactions otherwise prohibited pursuant to this Act. But prior to issuing any license under this Act, the Secretary of the Treasury shall consult with the Secretary of State, the Secretary of Defense, and the Director of National Intelligence.</text></subparagraph></paragraph></subsection></section> <enum>II</enum><header>Sanctions against Communist Chinese military companies, Chinese military companies, and Chinese military-industrial complex companies</header> <section id="HC58AC6ABEFCF4EB1B7B818B2F68F55B4" commented="no"><enum>201.</enum><header>Definitions</header><text display-inline="no-display-inline">In this title:</text> <paragraph id="H463B23D4B39D4FC88D300D806EA7864A" display-inline="no-display-inline"><enum>(1)</enum><header>Affiliate</header><text>The term <term>affiliate</term>—</text> <subparagraph id="HC99832B909B1431CB095E4D2D7ABC68B"><enum>(A)</enum><text display-inline="yes-display-inline">has the meaning given such term in section 230.405 of title 17, Code of Federal Regulations (as in effect on the date of the enactment of this Act);</text></subparagraph> <subparagraph id="H7A8D3696297740FBB43B025A6622DAB5"><enum>(B)</enum><text display-inline="yes-display-inline">means a person that is closely associated with another person typically in a dependent or subordinate position; or</text></subparagraph> <subparagraph id="H07E0365901D441409ACA3583931D70FE"><enum>(C)</enum><text display-inline="yes-display-inline">means a person that has a common purpose or shared characteristics with another person.</text></subparagraph></paragraph> <paragraph id="H7A8891843B69406C9AE749BD3B9CB460" commented="no"><enum>(2)</enum><header>Communist Chinese military company</header><text display-inline="yes-display-inline">The term <term>Communist Chinese military company</term>—</text> <subparagraph id="H2DBDC4D445884398830139930FF62D09"><enum>(A)</enum><text>has the meaning given such term in section 1237 of the Strom Thurmond National Defense Authorization Act for Fiscal Year 1999 (<external-xref legal-doc="public-law" parsable-cite="pl/105/261">Public Law 105–261</external-xref>; <external-xref legal-doc="usc" parsable-cite="usc/50/1701">50 U.S.C. 1701</external-xref> note); and</text></subparagraph> <subparagraph id="H2908822D913E4F5595B63A603BBBD5F0"><enum>(B)</enum><text display-inline="yes-display-inline">includes any affiliate of such company.</text></subparagraph></paragraph> <paragraph id="HB4442E2CA8F1414B805976C2B2F99EA6" commented="no"><enum>(3)</enum><header>Chinese military company; military-civil fusion contributor</header><text display-inline="yes-display-inline">The terms <term>Chinese military company</term> and <term>military-civil fusion contributor</term>—</text> <subparagraph id="HBB8929882BF94EA591E019C65EF28401"><enum>(A)</enum><text>have the meanings given such terms in section 1260H of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021 (<external-xref legal-doc="public-law" parsable-cite="pl/116/283">Public Law 116–283</external-xref>); and</text></subparagraph> <subparagraph id="HB80ABAD496934BF295D7992C736F3B86"><enum>(B)</enum><text display-inline="yes-display-inline">include any affiliate of such company or contributor.</text></subparagraph></paragraph> <paragraph id="H5BFB3A8819B64C0F93C530BA5E2865AC"><enum>(4)</enum><header>Section 102 terms</header><text>The terms <term>person</term>, <quote>publicly traded security</quote>, and <quote>United States person</quote> have the meanings given such terms, respectively, in section 102. </text></paragraph> <paragraph id="H57C32362C1494255AE749D9104D55BA5" commented="no"><enum>(5)</enum><header>Section 1237 List</header><text display-inline="yes-display-inline">The term <term>Section 1237 List</term> means the list required by section 1237 of the Strom Thurmond National Defense Authorization Act for Fiscal Year 1999.</text></paragraph> <paragraph id="H3C6CDC6F4328491B9FEAFC62AAEF9FB1" commented="no"><enum>(6)</enum><header>Section 1260H List</header><text display-inline="yes-display-inline">The term <term>Section 1260H List</term> means the list required by section 1260H of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021.</text></paragraph></section> <section id="HE4BA5B366DC140BCBF566214A7BD90F0" commented="no"><enum>202.</enum><header>Sanctions for Communist Chinese military companies and Chinese military companies</header> <subsection id="H6778C9AE1B4D44848832ABC516BD01BA" commented="no"><enum>(a)</enum><header>Authorization</header><text>The Secretary of Defense is authorized to include a covered entity on the Section 1237 List or the Section 1260H List.</text></subsection> <subsection id="H4728EE68639440E0BC8485763BB022B3" commented="no"><enum>(b)</enum><header>Prohibitions</header> <paragraph id="H15E46B79238B46C2ABC04B53B7FE1802" commented="no"><enum>(1)</enum><header>In general</header> <subparagraph id="H979B33A4113B48F9BA130F5CD883D977" commented="no"><enum>(A)</enum><header>Purchase or sale of certain securities prohibited</header><text>The purchase or sale by a United States person of any publicly traded securities, or any publicly traded securities that are derivative of such securities or are designed to provide investment exposure to such securities, of any person described in subparagraph (B) is prohibited.</text></subparagraph> <subparagraph id="H71DAC07839F543DDB40ECCBB53374C8D" commented="no"><enum>(B)</enum><header>Persons described</header><text>A person described in this subparagraph is—</text> <clause id="HCBB7CC0820904F588222B1813195D8CD" commented="no"><enum>(i)</enum><text display-inline="yes-display-inline">a company designated by the Office of Foreign Assets Control on the Non-SDN Chinese Military-Industrial Complex Companies List, including any affiliate of such company;</text></clause> <clause id="H59F71DDC99314E659BC5CE6F3161FB9A" commented="no"><enum>(ii)</enum><text display-inline="yes-display-inline">a Communist Chinese military company listed on the Section 1237 List;</text></clause> <clause id="HF60E09783B5E4D68BB6A2A05EF47B8CB"><enum>(iii)</enum><text display-inline="yes-display-inline">any person that was designated as a Communist Chinese military company on June 2, 2021, in accordance with section 1237(b) of the Strom Thurmond National Defense Authorization Act for Fiscal Year 1999 (<external-xref legal-doc="usc" parsable-cite="usc/50/1701">50 U.S.C. 1701</external-xref> note); or</text></clause> <clause id="H53CE565E50C1482F92809A4A5E71E3F0" commented="no"><enum>(iv)</enum><text display-inline="yes-display-inline">a Chinese military company or a military-civil fusion contributor listed on the Section 1260H List.</text></clause></subparagraph></paragraph> <paragraph id="H70A10A1D86C14DFDA1E41B55E7E25C6C" commented="no"><enum>(2)</enum><header>Effective date</header><text>The prohibitions in paragraph (1) shall take effect:</text> <subparagraph id="HE3A1D4BABB5A446A83287698A83B7958" commented="no"><enum>(A)</enum><text>Beginning at 12:01 a.m. eastern daylight time on August 2, 2021, with respect to a person designated or listed on a List described in paragraph (1)(B) on such date.</text></subparagraph> <subparagraph id="H608E119AFF5D48519700BEDF93605933" commented="no"><enum>(B)</enum><text>With respect to a person not described in subparagraph (A), beginning at 12:01 a.m. eastern daylight time on the date that is 60 days after a person is designated or listed on a List described in paragraph (1)(B).</text></subparagraph></paragraph> <paragraph id="HB04F09A70D924F5A84C3647CC648A90C" commented="no"><enum>(3)</enum><header>Divestment</header><text>The purchase or sale of publicly traded securities described in subsection (b)(1) made solely to effect the divestment, in whole or in part, of such securities by a United States person is permitted prior to:</text> <subparagraph id="HDA071A742FDD413FA9E80549B961DFF4" commented="no"><enum>(A)</enum><text>12:01 a.m. eastern daylight time on June 3, 2022, with respect to any person described in paragraph (2)(A).</text></subparagraph> <subparagraph id="H438C179EF20F4753B5DE06E71AE485B5" commented="no"><enum>(B)</enum><text>12:01 a.m. eastern daylight time on the date that is 365 days after the date a person is designated or listed on a List described in paragraph (1)(B).</text></subparagraph></paragraph> <paragraph id="HD1D98A5410644F039D0A44FA84982DF7" commented="no"><enum>(4)</enum><header>Rule of application</header><text>This subsection shall apply except to the extent provided by statutes, or in regulations, orders, directives, or licenses that may be issued pursuant to this Act, and notwithstanding any contract entered into or any license or permit granted before the date of this Act. </text></paragraph> <paragraph id="H203047C780174DEC917AFF80A1FBE99F" commented="no"><enum>(5)</enum><header>Evasion of prohibitions</header> <subparagraph id="H53FF2074ABD049CBA78C3BBE9BD6C79E" commented="no"><enum>(A)</enum><header>In general</header><text>The following actions are prohibited:</text> <clause id="HDB5655ADF1D44D7888F73F2D7302EC05" commented="no"><enum>(i)</enum><text>Any transactions by a United States person or within the United States that evades or avoids, has the purpose of evading or avoiding, causes a violation of, or attempts to violate the prohibitions set forth in this Act.</text></clause> <clause id="H02868DBC7C3A401A81D3C08536D9F536" commented="no"><enum>(ii)</enum><text>Any conspiracy formed to violate any of the prohibitions set forth in this Act.</text></clause></subparagraph> <subparagraph id="HE301B119AE4E433BA2E0EC3D32E8BE73" commented="no"><enum>(B)</enum><header>Penalties</header><text>The authorization provided in subsection (e) may be used to apply penalties provided for in subsections (b) and (c) of section 206 of the International Emergency Economic Powers Act (<external-xref legal-doc="usc" parsable-cite="usc/50/1705">50 U.S.C. 1705</external-xref>) with respect to a person that knowingly violates, attempts to violate, conspires to violate, or causes a violation of regulations promulgated under subsection (e) to the same extent that such penalties apply to a person that knowingly commits an unlawful act described in section 206(a) of that Act.</text></subparagraph></paragraph></subsection> <subsection id="H18D61E32B4D045AAABF939869AAB108D" commented="no"><enum>(c)</enum><header>Revisions to lists</header><text display-inline="yes-display-inline">The Secretary of Defense is authorized to make additions or deletions to the Section 1237 List and the Section 1260H List on an ongoing basis based on the latest information available.</text></subsection> <subsection id="HC5E0253FA246427482684B47C743356B" display-inline="no-display-inline" commented="no"><enum>(d)</enum><header>Transmission to other Federal officials</header><text display-inline="yes-display-inline">The Secretary of Defense shall, concurrently with the publication of the Section 1237 List and the Section 1260H List, transmit a copy of such lists to the Secretary of State, the Secretary of the Treasury, and the Director of National Intelligence. The Secretary of Defense shall also transmit a copy of lists to the Director of the Office of Foreign Assets Control of the Department of the Treasury for immediate implementation of the prohibitions described in subsection (b) against those covered entities included on such lists.</text></subsection> <subsection id="HF5ABD5BC028942F1BCD32D12B52723EC" commented="no"><enum>(e)</enum><header>Authorization</header> <paragraph id="H5413D10D4B4748069412D8D2624BB125" commented="no"><enum>(1)</enum><header>In general</header><text>The Secretary of the Treasury, after consultation with the Secretary of State, the Secretary of Defense, the Director of National Intelligence, and the heads of other executive departments and agencies as deemed appropriate by the Secretary of the Treasury, is hereby authorized to take such actions, including the promulgation of rules and regulations, and to employ all powers granted to the President by the International Emergency Economic Powers Act, to carry out the purposes of this section. The Secretary of the Treasury may, consistent with applicable law, redelegate any of these functions within the Department of the Treasury. All departments and agencies shall take all appropriate measures within their authority to carry out the provisions of this section.</text></paragraph> <paragraph id="H030E483B38054100B04AB8C3D3C09E52" commented="no"><enum>(2)</enum><header>Rules and regulations</header><text>Rules and regulations issued pursuant to this section may, among other things, establish procedures to license transactions otherwise prohibited pursuant to this section. But prior to issuing any license under this section, the Secretary of the Treasury shall consult with the Secretary of State, the Secretary of Defense, and the Director of National Intelligence.</text></paragraph></subsection></section> <section id="H29063C1B5CE643718AE9C4B9741E1C42" commented="no"><enum>203.</enum><header>Limitation on judicial review</header> <subsection id="H1AC05C539B194E9DB1D0686DE4657084" commented="no"><enum>(a)</enum><header>Decision by Secretary of State</header><text>The decision of the Secretary of State as to any question regarding the inclusion of a covered entity on the list required by section 103(a) shall be final and conclusive and may not be reviewed by any other official or by any court, whether by action in the nature of mandamus or otherwise.</text></subsection> <subsection id="H02C8255A36674DF4A901CCD68570253F" commented="no"><enum>(b)</enum><header>Decision by Secretary of Defense</header><text display-inline="yes-display-inline">The decision of the Secretary of Defense as to any question regarding the inclusion of a Communist Chinese military company, a Chinese military company, or a military-civil fusion contributor on either the lists described in section 1237 of the Strom Thurmond National Defense Authorization Act for Fiscal Year 1999 (<external-xref legal-doc="public-law" parsable-cite="pl/105/261">Public Law 105–261</external-xref>; <external-xref legal-doc="usc" parsable-cite="usc/50/1701">50 U.S.C. 1701</external-xref> note) or in section 1260H of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021 (<external-xref legal-doc="public-law" parsable-cite="pl/116/283">Public Law 116–283</external-xref>) may not be reviewed by any official or by any court, whether by action in the nature of mandamus or otherwise.</text></subsection> <subsection id="HC100858DD30D459C8F83D52014EAE6C8" commented="no"><enum>(c)</enum><header>Decision by Secretary of the Treasury</header><text display-inline="yes-display-inline">The decision of the Secretary of Treasury, after consultation with the Secretary of State and the Secretary of Defense, as to any question regarding the inclusion of an entity on the Office of Foreign Assets Control’s Non-SDN Chinese Military-Industrial Complex Companies List shall be final and conclusive and may not be reviewed by any other official or by any court, whether by action in the nature of mandamus or otherwise.</text></subsection> <subsection id="HB76556B24B1644F9B0A5FAC300D47D77" commented="no"><enum>(d)</enum><header>Rules and regulations promulgated by the Secretary of the Treasury</header><text display-inline="yes-display-inline">The rules and regulations promulgated by the Secretary of the Treasury under sections 103(b)(6) and 202(e) shall be final and not subject to any further agency review or to judicial review by any court (including under <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/5/7">chapter 7</external-xref> of title 5, United States Code).</text></subsection></section>