[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 4428 Introduced in Senate (IS)]
<DOC>
117th CONGRESS
2d Session
S. 4428
To support the security of Taiwan and its right of self-determination,
and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
June 16, 2022
Mr. Menendez (for himself and Mr. Graham) introduced the following
bill; which was read twice and referred to the Committee on Foreign
Relations
_______________________________________________________________________
A BILL
To support the security of Taiwan and its right of self-determination,
and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Taiwan Policy Act
of 2022''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Definitions.
TITLE I--UNITED STATES POLICY TOWARD TAIWAN
Sec. 101. Declaration of policy.
Sec. 102. Treatment of the Government of Taiwan.
Sec. 103. Taiwan symbols of sovereignty.
Sec. 104. Designation and references to Taiwan Representative Office.
Sec. 105. Senate confirmation of the Director of the Taipei office of
the American Institute in Taiwan.
TITLE II--IMPLEMENTATION OF AN ENHANCED DEFENSE PARTNERSHIP BETWEEN THE
UNITED STATES AND TAIWAN
Sec. 201. Amendments to the Taiwan Relations Act.
Sec. 202. Anticipatory planning and annual review of the United States
strategy to defend Taiwan.
Sec. 203. Joint assessment.
Sec. 204. Taiwan Security Assistance Initiative.
Sec. 205. Requirements regarding definition of counter intervention
capabilities.
Sec. 206. Comprehensive training program.
Sec. 207. Military planning mechanism.
Sec. 208. Assessment of Taiwan's needs for civilian defense and
resilience.
Sec. 209. Prioritizing excess defense article transfers for Taiwan.
Sec. 210. Fast-tracking sales to Taiwan under the Foreign Military
Sales program.
Sec. 211. Whole-of-government deterrence measures to respond to the
People's Republic of China's force against
Taiwan.
Sec. 212. Increase in annual war reserves stockpile additions and
support for Taiwan.
Sec. 213. Designation of Taiwan as a major non-NATO ally.
TITLE III--COUNTERING PEOPLE'S REPUBLIC OF CHINA'S AGGRESSION AND
INFLUENCE CAMPAIGNS
Sec. 301. Strategy to respond to influence and information operations
targeting Taiwan.
Sec. 302. Strategy to counter economic coercion by the People's
Republic of China targeting countries and
entities that support Taiwan.
TITLE IV--INCLUSION OF TAIWAN IN INTERNATIONAL ORGANIZATIONS
Sec. 401. Participation of Taiwan in international organizations.
Sec. 402. Participation of Taiwan in the Inter-American Development
Bank.
Sec. 403. Plan for Taiwan's participation in the Inter-American
Development Bank.
Sec. 404. Report concerning member state status for Taiwan at the
Inter-American Development Bank.
Sec. 405. Clarification regarding United Nations General Assembly
Resolution 2758 (XXVI).
TITLE V--ENHANCED DEVELOPMENT AND ECONOMIC COOPERATION BETWEEN THE
UNITED STATES AND TAIWAN
Sec. 501. Findings.
Sec. 502. Sense of Congress on a free trade agreement with Taiwan, the
Indo-Pacific Economic Framework, and CBP
Preclearance.
TITLE VI--SUPPORTING UNITED STATES EDUCATIONAL AND EXCHANGE PROGRAMS
WITH TAIWAN
Sec. 601. Short title.
Sec. 602. Findings.
Sec. 603. Purposes.
Sec. 604. Definitions.
Sec. 605. Taiwan Fellowship Program.
Sec. 606. Reports and audits.
Sec. 607. Taiwan fellows on detail from government service.
Sec. 608. Funding.
Sec. 609. Supporting United States educational and exchange programs
with Taiwan.
TITLE VII--MISCELLANEOUS PROVISIONS
Sec. 701. Invitation of Taiwanese counterparts to high-level bilateral
and multilateral forums and exercises.
Sec. 702. Report on Taiwan Travel Act.
Sec. 703. Prohibitions against undermining United States policy
regarding Taiwan.
TITLE VIII--SANCTIONS MEASURES FOR CROSS-STRAIT STABILITY
Sec. 801. Definitions.
Sec. 802. Determinations with respect to activities of the People's
Republic of China impacting Taiwan.
Sec. 803. Imposition of sanctions on officials of the Government of the
People's Republic of China relating to
operations in Taiwan.
Sec. 804. Imposition of sanctions with respect to financial
institutions of the People's Republic of
China.
Sec. 805. Imposition of sanctions with respect to provision of
specialized financial messaging services to
sanctioned People's Republic of China
financial institutions.
Sec. 806. Imposition of sanctions with respect to People's Republic of
China extractive industries.
Sec. 807. Additional sanctions.
Sec. 808. Sanctions described.
Sec. 809. Implementation; regulations; penalties.
Sec. 810. Exceptions; waiver.
Sec. 811. Termination.
TITLE IX--RULE OF CONSTRUCTION
Sec. 901. Rule of construction.
SEC. 2. FINDINGS.
Congress finds the following:
(1) Since 1949, the close relationship between the United
States and Taiwan has been of enormous benefit to both parties
and to the Indo-Pacific region as a whole.
(2) The Taiwan Relations Act (Public Law 96-8; 22 U.S.C.
3301 et seq.) has enabled the people of the United States and
the people of Taiwan to maintain a strong and important
relationship that promotes regional security, prosperity, and
shared democratic values.
(3) The security of Taiwan and the ability for the people
of Taiwan to determine their own future is fundamental to
United States interests and values.
(4) The Taipei Economic and Cultural Representative Office
in the United States and the American Institute in Taiwan
facilitate critical consular relations that--
(A) protect the interests of the people of the
United States and the people of Taiwan; and
(B) strengthen people-to-people ties.
(5) Increased engagement between public officials,
commercial interests, civil society leaders, and others
enhances Taiwanese-American relations and its economic,
security, and democratic dimensions.
(6) Taiwan serves as a critical partner on regional and
transnational issues, such as public health, climate change,
critical and emerging technologies, cybersecurity, trade, and
freedom of navigation.
(7) Taiwan exemplifies a thriving democracy consisting of
more than 23,000,000 people who value their suffrage, free
markets, right to due process, freedom of expression, and other
individual liberties.
(8) President Xi Jinping of the People's Republic of China
(referred to in this Act as the ``PRC'') continues to repeat
his desire to stifle the freedom of Taiwan, as evidenced by his
July 2021 proclamation, in which he stated, ``All sons and
daughters of China, including compatriots on both sides of the
Taiwan Strait, must work together and move forward in
solidarity, resolutely smashing any Taiwan independence
plots.''.
(9) As President Xi Jinping concentrates his power in the
Chinese Communist Party (referred to in this Act as the
``CCP''), he is escalating the PRC's campaign of coercion and
intimidation against Taiwan, as evidenced by--
(A) the accelerated preparations made by the PRC
and its People's Liberation Army (referred to in this
Act as the ``PLA'') for an offensive attack against
Taiwan, such as the PLA's January 2022 incursion of
nearly 40 fighters, bombers, and other warplanes into
Taiwan's air defense identification zone;
(B) the PLA's growing offensive preparations in the
Taiwan Strait, such as amphibious assault and live-fire
exercises and record-scale incursions into Taiwanese
air space;
(C) the Foreign Ministry's diplomatic efforts to
isolate Taiwan, such as abusing its position in
international intuitions and multilateral fora to
exclude Taiwanese participation despite Taiwan's
demonstrated expertise in relevant subjects, such as
public health;
(D) threats and actions to compromise Taiwan's
economy and critical suppliers, such as draconian
export controls and the ``31 Measures'' intended to
lure Taiwanese talent to mainland China and away from
Taiwan;
(E) persistent and targeted cyberattacks, numbering
nearly 20,000,000 per month, which are intended to
compromise Taiwan's critical infrastructure and inflict
civilian harm; and
(F) political and economic pressure on other
countries who seek closer ties with Taiwan, such as
recent export controls related to Lithuania after
Lithuania announced a permanent Taiwanese
Representative Office in Lithuania.
(10) On multiple occasions, through both formal and
informal channels, the United States has expressed its concern
for the PRC's destabilizing activities in the Taiwan Strait and
on the international stage that aim to subvert Taiwan's
democratic intuitions.
(11) The Indo-Pacific Strategy of the United States--
(A) identifies Taiwan as an important leading
regional partner;
(B) seeks to bolster Taiwan's self-defense
capabilities; and
(C) reaffirms that Taiwan's future must be
determined peacefully and in accordance with the wishes
and best interests of the people of Taiwan.
(12) The PRC considers stifling the freedom of Taiwan as a
critical and necessary step to displacing the United States as
the preeminent military power in the Indo-Pacific and continues
its modernization campaign to enhance the power-projection
capabilities of the PLA and its ability to conduct joint
operations.
(13) Taiwan maintains a modern, ready, self-defense force
that adheres to the highest democratic principles and benefits
from continued state of the art security assistance.
(14) It is a vital national security interest of the United
States to defend Taiwan for the purposes of--
(A) mitigating the PLA's ability to project power
and establish contested zones within the First and
Second Island Chains and limiting the PLA's freedom of
maneuver to conduct unconstrained power projection
capabilities beyond the First Island Chain in order to
protect United States territory, such as Hawaii and
Guam;
(B) defending the territorial integrity of Indo-
Pacific allies, such as Japan;
(C) deterring other countries and competitors from
exercising force as a means to revise the established
status quo;
(D) championing democratic institutions and
societies in the Indo-Pacific region and throughout the
world; and
(E) maintaining a rules-based international order
that--
(i) constrains authoritarian powers;
(ii) enshrines collective security;
(iii) promotes democracy and respect for
human rights and fundamental freedoms; and
(iv) promotes peace and prosperity.
SEC. 3. DEFINITIONS.
In this Act:
(1) Appropriate committees of congress.--Except as
otherwise provided in this Act, the term ``appropriate
committees of Congress'' means--
(A) the Committee on Foreign Relations of the
Senate;
(B) the Committee on Armed Services of the Senate;
(C) the Committee on Appropriations of the Senate;
(D) the Committee on Foreign Affairs of the House
of Representatives;
(E) the Committee on Armed Services of the House of
Representatives; and
(F) the Committee on Appropriations of the House of
Representatives.
(2) Counter intervention capabilities.--The term ``counter
intervention capabilities'' includes, in such quantities as the
Secretary of State, in consultation with the Secretary of
Defense, determines to be necessary to achieve the purpose
described in section 204(c)--
(A) mobile, ground-based coastal defense cruise
missiles and launchers;
(B) mobile, ground-based short-range and medium-
range air defense systems;
(C) smart, self-propelled naval mines and coastal
minelaying platforms;
(D) missile boats and fast-attack craft equipped
with anti-ship and anti-landing craft missiles;
(E) manned and unmanned aerial and other mobile,
resilient surveillance systems to support coastal and
air defense operations;
(F) equipment to support target location, tracking,
identification, and targeting, especially at the local
level, in communications degraded or denied
environments;
(G) man-portable anti-armor weapons, mortars, and
small arms for ground combat operations;
(H) equipment and technical assistance for the
purpose of developing civil defense forces, composed of
civilian volunteers and militia;
(I) training and equipment, including appropriate
war reserves, required for Taiwan forces to
independently maintain, sustain, and employ the
capabilities described in subparagraphs (A) through
(H);
(J) concept development for coastal defense, air
defense, decentralized command and control, civil
defense, logistics, planning, and other critical
military functions, with an emphasis on operations in a
communications degraded or denied environment; and
(K) any other capability that the Secretary of
State, in consultation with the Secretary of Defense,
considers appropriate for the purpose described in
section 204(d).
(3) Republic of china.--The term ``Republic of China''
means the East Asia island country commonly known as
``Taiwan''.
(4) Sharp power.--The term ``sharp power'' means the
coordinated and often concealed application of disinformation,
media manipulation, economic coercion, cyber-intrusions,
targeted investments, and academic censorship that is
intended--
(A) to corrupt political and nongovernmental
institutions and interfere in democratic elections and
encourage self-censorship of views at odds with those
of the Government of the People's Republic of China or
the Chinese Communist Party; or
(B) to foster attitudes, behavior, decisions, or
outcomes in Taiwan and elsewhere that support the
interests of the Government of the People's Republic of
China or the Chinese Communist Party.
TITLE I--UNITED STATES POLICY TOWARD TAIWAN
SEC. 101. DECLARATION OF POLICY.
It is the policy of the United States--
(1) to support the security of Taiwan, the stability of
cross-Strait relations, and the freedom of the people of Taiwan
to determine their own future and to strenuously oppose any
action by the PRC to use force to change the status quo of
Taiwan;
(2) to cooperate with Taiwan as an important partner of the
United States in promoting a free and open Indo-Pacific;
(3) to deter the use of force by the PRC to change the
status quo of Taiwan by coordinating with allies and partners
to identify and develop significant economic, diplomatic, and
other measures that will deter and impose costs on any such use
of force and support and cooperate with Taiwan to implement,
resource, and modernize its military capabilities, including an
asymmetric defense strategy, through security assistance and
increases in defense spending;
(4) to strengthen cooperation with the military of Taiwan
under the framework of the Taiwan Relations Act (Public Law 96-
8; 22 U.S.C. 3301 et seq.) and the Six Assurances, with
consideration of the ongoing military buildup in China and the
imbalance in the security environment in the Taiwan Strait, and
to transfer defense articles to Taiwan to enhance its
capabilities, including its efforts to undertake defensive
operations, such as undersea warfare and air defense
capabilities, and maintain the ability to deny PRC coercion and
invasion;
(5) to urge Taiwan to increase its own investments in
military capabilities, including those that support the
implementation of an asymmetric defense strategy;
(6) to advance and finalize key provisions of the United
States-Taiwan Trade and Investment Framework Agreement and
deepen economic ties between the United States and Taiwan and
advance the interests of the United States by negotiating a
bilateral free trade agreement as soon as possible that will
include appropriate levels of labor rights and environmental
protections;
(7) to include Taiwan as a partner in the Indo-Pacific
Economic Framework;
(8) to welcome Taiwan's meaningful participation in
important international organizations, including organizations
that address global health, civilian air safety, and efforts to
counter transnational crime and bilateral and multilateral
security summits, military exercises, and economic dialogues
and forums;
(9) to support the Government of Taiwan as a representative
democratic government, constituted through free and fair
elections that reflect the will of the people of Taiwan and
promote dignity and respect for the democratically elected
leaders of Taiwan, who represent more than 23,000,000 citizens,
by using the full range of diplomatic and financial tools
available to promote Taiwan's international space;
(10) to ensure that distinctions in practice regarding
relations with Taiwan are consistent with the longstanding,
comprehensive, strategic, and values-based relationship the
United States shares with Taiwan, and contribute to the
peaceful resolution of cross-Strait issues; and
(11) to create and execute a plan for enhancing our
relationship with Taiwan by forming a robust partnership that--
(A) meets the challenges of the 21st century;
(B) fully accounts for Taiwan's democratic status;
and
(C) remains faithful to United States principles
and values, consistent with the Taiwan Relations Act
and the Six Assurances.
SEC. 102. TREATMENT OF THE GOVERNMENT OF TAIWAN.
(a) In General.--The Secretary of State and other Federal
departments and agencies shall--
(1) engage with the democratically elected government of
Taiwan as the legitimate representative of the people of
Taiwan; and
(2) end the outdated practice of referring to the
government in Taiwan as the ``Taiwan authorities''.
(b) No Restrictions on Bilateral Interactions.--Notwithstanding the
continued supporting role of the American Institute in Taiwan in
carrying out United States foreign policy and protecting United States
interests in Taiwan, the United States Government shall not place any
undue restrictions on the ability of officials of the Department of
State or other Federal departments and agencies to interact directly
and routinely with their counterparts in the Government of Taiwan.
SEC. 103. TAIWAN SYMBOLS OF SOVEREIGNTY.
(a) Defined Term.--In this section, the term ``official purposes''
means--
(1) the wearing of official uniforms;
(2) conducting government-hosted ceremonies or functions;
and
(3) appearances on Department of State social media
accounts promoting engagements with Taiwan.
(b) In General.--Not later than 90 days after the date of the
enactment of this Act, the Secretary of State shall rescind any contact
guideline, internal restriction, section of the Foreign Affairs Manual
or the Foreign Affairs Handbook, or related guidance or policies that,
explicitly or implicitly, including through restrictions or limitations
on activities of United States Government personnel, limits the ability
of members of the armed forces of the Republic of China (Taiwan) and
government representatives from the Taipei Economic and Cultural
Representative Office to display, for official purposes, symbols of
Republic of China sovereignty, including--
(1) the flag of the Republic of China (Taiwan); and
(2) the corresponding emblems or insignia of military
units.
SEC. 104. DESIGNATION AND REFERENCES TO TAIWAN REPRESENTATIVE OFFICE.
(a) Statement of Policy.--It shall be the policy of the United
States, consistent with the Taiwan Relations Act (Public Law 96-8; 22
U.S.C. 3301 et seq.) and the Six Assurances--
(1) to provide the people of Taiwan with de facto
diplomatic treatment equivalent to foreign countries, nations,
states, governments, or similar entities; and
(2) to rename the ``Taipei Economic and Cultural
Representative Office'' in the United States as the ``Taiwan
Representative Office''.
(b) Renaming.--The Secretary of State shall seek to enter into
negotiations with the Taipei Economic and Cultural Representative
Office to rename its office in Washington, DC, the ``Taiwan
Representative Office''.
(c) References.--If the negotiations under subsection (b) results
in the renaming of the Taipei Economic and Cultural Representative
Office as the Taiwan Representative Office, any reference in a law,
map, regulation, document, paper, or other record of the United States
Government to the Taipei Economic and Cultural Representative Office
shall be deemed to be a reference to the Taiwan Representative Office,
including for all official purposes of the United States Government,
all courts of the United States, and any proceedings by such Government
or in such courts.
SEC. 105. SENATE CONFIRMATION OF THE DIRECTOR OF THE TAIPEI OFFICE OF
THE AMERICAN INSTITUTE IN TAIWAN.
The appointment of an individual to the position of Director of the
American Institute in Taiwan's Taipei office shall be subject to the
advice and consent of the Senate. Upon Senate confirmation, such
individual shall have the title of Representative.
TITLE II--IMPLEMENTATION OF AN ENHANCED DEFENSE PARTNERSHIP BETWEEN THE
UNITED STATES AND TAIWAN
SEC. 201. AMENDMENTS TO THE TAIWAN RELATIONS ACT.
(a) Declaration of Policy.--Section 2(b) of the Taiwan Relations
Act (22 U.S.C. 3301(b)) is amended--
(1) in paragraph (5), by inserting ``and arms conducive to
deterring acts of aggression by the People's Liberation Army''
after ``arms of a defensive character''; and
(2) in paragraph (6), by striking ``to maintain the
capacity of the United States''.
(b) Provision of Defense Articles and Services.--Section 3(a) of
the Taiwan Relations Act (22 U.S.C. 3302(a)) is amended by striking
``to maintain a sufficient self-defense capability'' and inserting ``to
implement a strategy to deny and deter acts of coercion or aggression
by the People's Liberation Army''.
(c) Rule of Construction.--Section 4 of the Taiwan Relations Act
(22 U.S.C. 3303) is amended by adding at the end the following:
``(e) Rule of Construction.--Nothing in this Act, nor the
President's action in extending diplomatic recognition to the People's
Republic of China, nor the absence of diplomatic relations between the
people of Taiwan and the United States, and nor the lack of formal
recognition of Taiwan by the United States, and any related
circumstances, may be construed to constitute a legal or practical
obstacle to any otherwise lawful action of the President or of any
United States Government agency that is needed to advance or protect
United States interests pertaining to Taiwan, including actions
intended to strengthen security cooperation between the United States
and Taiwan or to otherwise deter the use of force against Taiwan by the
People's Liberation Army.''.
SEC. 202. ANTICIPATORY PLANNING AND ANNUAL REVIEW OF THE UNITED STATES
STRATEGY TO DEFEND TAIWAN.
(a) In General.--Not later than 180 days after the date of the
enactment of this Act, and annually thereafter for 10 years, the
Secretary of Defense shall--
(1) conduct a classified review of the United States
strategy to defend Taiwan; and
(2) share the results of such review with the Chairman and
Ranking Member of the appropriate committees of Congress.
(b) Elements.--The review conducted pursuant to subsection (a)
shall include--
(1) an assessment of Taiwan's current and near-term
capabilities, United States force readiness, and the adequacy
of the United States strategy to enable the defense of Taiwan;
(2) a detailed strategy of denial to defend Taiwan against
aggression by the People's Liberation Army, including an effort
to seize and hold the island of Taiwan;
(3) a comprehensive assessment of risks to the United
States and United States interests, including readiness
shortfalls that pose strategic risk;
(4) a review of indicators of the near-term likelihood of
the use of force by the People's Liberation Army against
Taiwan; and
(5) a list of military capabilities, including capabilities
that enable a strategy of denial, that--
(A) would suit the operational environment and
allow Taiwan to respond effectively to a variety of
contingencies across all potential phases of conflict
involving the People's Liberation Army; and
(B) would reduce the threat of conflict, thwart an
invasion, and mitigate other risks to the United States
and Taiwan.
SEC. 203. JOINT ASSESSMENT.
(a) In General.--The Secretary of State, in consultation with the
Secretary of Defense, shall establish a mechanism with Taiwan--
(1) to develop a joint assessment of the threats Taiwan
faces from the People's Republic of China across the spectrum
of possible military action; and
(2) to identify nonmaterial and material solutions to deter
and defeat such threats.
(b) Integrated Priorities List.--In carrying out subsection (a),
the Secretary of Defense, in consultation with the Secretary of State,
shall develop with Taiwan--
(1) an integrated priorities list;
(2) relevant plans for acquisition and training for
relevant nonmaterial and material solutions; and
(3) other measures to appropriately prioritize the defense
needs of Taiwan to maintain effective deterrence across the
spectrum of possible military action by the People's Republic
of China.
(c) Report.--Not later than 180 days after the date of the
enactment of this Act, the Secretary of Defense, in consultation with
the Secretary of State, shall submit a report to the appropriate
committees of Congress that describes the joint assessment developed
pursuant to subsection (a)(1).
SEC. 204. TAIWAN SECURITY ASSISTANCE INITIATIVE.
(a) Taiwan Security Programs.--The Secretary of State, in
consultation with the Secretary of Defense, shall establish an
initiative, to be known as the ``Taiwan Security Assistance
Initiative'' (referred to in this section as the ``Initiative''), that
provides a Foreign Military Financing Program for Taiwan and other
measures to strengthen the United States-Taiwan defense relationship,
and to accelerate the modernization of Taiwan's defense capabilities
required to deter or, if necessary, to defeat an invasion of Taiwan by
the People's Republic of China.
(b) Annual Report on Advancing the Defense of Taiwan.--
(1) Appropriate congressional committees defined.--In this
subsection, the term ``appropriate congressional committees''
means--
(A) the Committee on Foreign Relations of the
Senate; and
(B) the Committee on Foreign Affairs of the House
of Representatives.
(2) In general.--Not later than 180 days after the date of
the enactment of this Act, and annually thereafter for 7 years,
the Secretary of State and the Secretary of Defense shall
jointly submit a report to the appropriate congressional
committees that describes Taiwan's enhancement of its self-
defense capabilities.
(3) Matters to be included.--Each report required under
paragraph (2) shall include--
(A) an assessment of the commitment of Taiwan to
implementing the tenets of the Overall Defense Concept,
including the steps that Taiwan has taken and the steps
that Taiwan has not taken to implement those tenets;
(B) an assessment of the efforts of Taiwan to
acquire and employ within its forces asymmetric
capabilities, including--
(i) long-range precision fires;
(ii) integrated air and missile defense
systems;
(iii) anti-ship cruise missiles;
(iv) land-attack cruise missiles;
(v) coastal defense;
(vi) anti-armor;
(vii) undersea warfare;
(viii) survivable swarming maritime assets;
(ix) manned and unmanned aerial systems;
(x) mining and countermining capabilities;
(xi) intelligence, surveillance, and
reconnaissance capabilities;
(xii) command and control systems; and
(xiii) any other defense capabilities that
the United States and Taiwan jointly determine
are crucial to the defense of Taiwan, in
accordance with the process developed pursuant
to section 203(a);
(C) an evaluation of the balance between
conventional and counter intervention capabilities in
the defense force of Taiwan as of the date on which the
report is submitted;
(D) an assessment of steps taken by Taiwan to
enhance the overall readiness of its defense forces,
including--
(i) the extent to which Taiwan is requiring
and providing regular training to such forces;
(ii) the extent to which such training is
realistic to the security environment that
Taiwan faces; and
(iii) the sufficiency of the financial and
budgetary resources Taiwan is putting toward
readiness of such forces;
(E) an assessment of steps taken by Taiwan to
ensure that the Taiwan Reserve Command can recruit,
train, and equip its forces;
(F) an evaluation of--
(i) the severity of manpower shortages in
the military of Taiwan, including in the
reserve forces;
(ii) the impact of such shortages in the
event of a conflict scenario; and
(iii) the efforts made by Taiwan to address
such shortages;
(G) an assessment of the efforts made by Taiwan to
boost its civilian defenses, including any
informational campaigns to raise awareness among the
population of Taiwan of the risks of Taiwan's security
environment;
(H) an assessment of the efforts made by Taiwan to
secure its critical infrastructure, including in
transportation, telecommunications networks, and
energy;
(I) an assessment of the efforts made by Taiwan to
enhance its cybersecurity, including the security of
civilian government and military networks;
(J) an assessment of any significant gaps in any of
the matters described in subparagraphs (A) through (I)
with respect to which the United States assesses that
additional action is needed;
(K) a description of cooperative efforts between
the United States and Taiwan on the matters described
in subparagraphs (A) through (J); and
(L) a description of any resistance within the
Government of Taiwan to--
(i) implementing the matters described in
subparagraphs (A) through (I); or
(ii) United States support or engagement
with regard to such matters.
(4) Form.--The report required under paragraph (2) shall be
submitted in classified form, but shall include a detailed
unclassified summary.
(5) Sharing of summary.--The Secretary of State and the
Secretary of Defense shall jointly share the unclassified
summary required under paragraph (4) with the government and
military of Taiwan.
(c) Authority To Provide Assistance.--The Secretary of State, in
consultation with the Secretary of Defense, shall use amounts
appropriated pursuant to subsection (i) to provide assistance to the
Government of Taiwan to achieve the purpose described in subsection
(d).
(d) Purpose.--The purpose of the Foreign Military Financing Program
shall be to provide assistance, including equipment, training, and
other support, to enable the Government of Taiwan--
(1) to accelerate the modernization of its defense
capabilities, including for asymmetric operations, that will
delay, degrade, and deny attempts by People's Liberation Army
forces--
(A) to conduct coercive or grey zone activities;
(B) to enter or transit the Taiwan Strait and
adjoining seas; or
(C) to secure a lodgment on Taiwan and expand or
otherwise use such lodgment to seize control of a
population center or other key territory in Taiwan; and
(2) to prevent the People's Republic of China from
decapitating, seizing control of, or otherwise neutralizing or
rendering ineffective the Government of Taiwan.
(e) War Reserve Stockpile.--Of the amounts appropriated pursuant to
subsection (i)(2), not more than $100,000,000 may be used during each
of the fiscal years 2023 through 2032 to maintain a stockpile (if
established under section 213), in accordance with section 514 of the
Foreign Assistance Act of 1961 (22 U.S.C. 2321h), as amended by section
212.
(f) Availability of Funds.--
(1) Annual spending plan.--Not later than December 1, 2022,
and annually thereafter, the Secretary of State, in
coordination with the Secretary of Defense, shall submit a plan
to the appropriate committees of Congress describing how funds
appropriated pursuant to subsection (i)(2) will be used to
achieve the purpose described in subsection (d).
(2) Certification.--Amounts appropriated for each fiscal
year pursuant to subsection (i)(2) shall be made available for
the purpose described in such subsection after the Secretary of
State certifies to the appropriate committees of Congress that
Taiwan has increased its defense spending relative to Taiwan's
defense spending in its prior fiscal year, excepting accounts
in Taiwan's defense budget related to personnel expenditures
(other than military training and education).
(3) Remaining funds.--
(A) In general.--Subject to subparagraph (B),
amounts appropriated for a fiscal year pursuant to
subsection (i)(2) that are not obligated and expended
during such fiscal year shall be added to the amount
that may be used for the Initiative in the subsequent
fiscal year.
(B) Rescission.--Amounts appropriated pursuant to
subsection (i)(2) that remain unobligated on September
30, 2027, shall be rescinded and deposited into the
general fund of the Treasury.
(g) Defense Articles and Services From the United States Inventory
and Other Sources.--
(1) In general.--In addition to assistance provided
pursuant to subsection (c), the Secretary of State, in
coordination with the Secretary of Defense, may make available
to the Government of Taiwan, in such quantities as the
Secretary of State considers appropriate for the purpose
described in subsection (d)--
(A) weapons and other defense articles from the
United States inventory and other sources;
(B) excess defense articles from the United States
inventory; and
(C) defense services.
(2) Replacement.--The Secretary of State may use amounts
appropriated pursuant to subsection (i)(2) for the cost of
replacing any item provided to the Government of Taiwan
pursuant to paragraph (1)(A).
(h) Foreign Military Financing Loan and Loan Guarantee Authority.--
(1) Direct loans.--
(A) In general.--Notwithstanding section 23(c)(1)
of the Arms Export Control Act (22 U.S.C. 2763), during
fiscal years 2022 and 2023, the Secretary of State may
make direct loans available for Taiwan pursuant to
section 23 of such Act.
(B) Maximum obligations.--Gross obligations for the
principal amounts of loans authorized under
subparagraph (A) may not exceed $2,000,000,000.
(C) Source of funds.--
(i) Defined term.--In this subparagraph,
the term ``cost''--
(I) has the meaning given such term
in section 502(5) of the Congressional
Budget Act of 1974 (2 U.S.C. 661a(5));
(II) shall include the cost of
modifying a loan authorized under
subparagraph (A); and
(III) may include the costs of
selling, reducing, or cancelling any
amounts owed to the United States or to
any agency of the United States.
(ii) In general.--Amounts appropriated
pursuant to subsection (i)(1) may be made
available to pay for the cost of loans
authorized under subparagraph (A).
(D) Fees authorized.--
(i) In general.--The Government of the
United States may charge fees for loans made
pursuant to subparagraph (A), which shall be
collected from borrowers through a financing
account (as defined in section 502(7) of the
Congressional Budget Act of 1974 (2 U.S.C.
661a(7)).
(ii) Limitation on fee payments.--Amounts
made available under any appropriations Act for
any fiscal year may not be used to pay any fees
associated with a loan authorized under
subparagraph (A).
(E) Repayment.--Loans made pursuant to subparagraph
(A) shall be repaid not later than 12 years after the
loan is received by the borrower, including a grace
period of not more than 1 year on repayment of
principal.
(F) Interest.--
(i) In general.--Notwithstanding section
23(c)(1) of the Arms Export Control Act (22
U.S.C. 2763(c)(1)), interest for loans made
pursuant to subparagraph (A) may be charged at
a rate determined by the Secretary of State,
except that such rate may not be less than the
prevailing interest rate on marketable Treasury
securities of similar maturity.
(ii) Treatment of loan amounts used to pay
interest.--Amounts made available under this
paragraph for interest costs shall not be
considered assistance for the purposes of any
statutory limitation on assistance to a
country.
(2) Loan guarantees.--
(A) In general.--Amounts appropriated pursuant to
subsection (i)(1) may be made available for the costs
of loan guarantees for Taiwan under section 24 of the
Arms Export Control Act (22 U.S.C. 2764) for Taiwan to
subsidize gross obligations for the principal amount of
commercial loans and total loan principal, any part of
which may be guaranteed, not to exceed $2,000,000,000.
(B) Maximum amounts.--A loan guarantee authorized
under subparagraph (A)--
(i) may not guarantee a loan that exceeds
$2,000,000,000; and
(ii) may not exceed 80 percent of the loan
principal with respect to any single borrower.
(C) Subordination.--Any loan guaranteed pursuant to
subparagraph (A) may not be subordinated to--
(i) another debt contracted by the
borrower; or
(ii) any other claims against the borrower
in the case of default.
(D) Repayment.--Repayment in United States dollars
of any loan guaranteed under this paragraph shall be
required not later than 12 years after the loan
agreement is signed.
(E) Fees.--Notwithstanding section 24 of the Arms
Export Control Act (22 U.S.C. 2764), the Government of
the United States may charge fees for loan guarantees
authorized under subparagraph (A), which shall be
collected from borrowers, or from third parties on
behalf of such borrowers, through a financing account
(as defined in section 502(7) of the Congressional
Budget Act of 1974 (2 U.S.C. 661a(7))).
(F) Treatments of loan guarantees.--Amounts made
available under this paragraph for the costs of loan
guarantees authorized under subparagraph (A) shall not
be considered assistance for the purposes of any
statutory limitation on assistance to a country.
(3) Notification requirement.--Amounts appropriated to
carry out this subsection may not be expended without prior
notification of the appropriate committees of Congress.
(i) Authorization of Appropriations.--
(1) Foreign military financing program.--There is
authorized to be appropriated, under the heading ``Foreign
Military Financing Program'', such sums as may be necessary to
carry out the program authorized under subsection (c).
(2) Authorization of appropriations.--In addition to
amounts appropriated pursuant to paragraph (1), there is
authorized to be appropriated to the Department of State to
carry out the Initiative--
(A) $250,000,000 for fiscal year 2023;
(B) $750,000,000 for fiscal year 2024;
(C) $1,500,000,000 for fiscal year 2025; and
(D) $2,000,000,000 for fiscal year 2026.
(j) Sunset Provision.--Assistance may not be provided under this
section after September 30, 2032.
SEC. 205. REQUIREMENTS REGARDING DEFINITION OF COUNTER INTERVENTION
CAPABILITIES.
(a) Statement of Policy.--It is the policy of the United States--
(1) to ensure that requests by Taiwan to purchase arms from
the United States are not prematurely rejected or dismissed
before Taiwan submits a letter of request or other formal
documentation, particularly when such requests are for
capabilities that are not included on any United States
Government priority lists of necessary capabilities for the
defense of Taiwan; and
(2) to ensure close consultation among representatives of
Taiwan, Congress, industry, and the Executive branch about
requests referred to in paragraph (1) and the needs of Taiwan
before Taiwan submits formal requests for such purchases.
(b) Requirement.--Not later than 45 days after the date of the
enactment of this Act, the Secretary of State and the Secretary of
Defense shall jointly submit to the appropriate committees of
Congress--
(1) a list of categories of counter intervention
capabilities and a justification for each such category; and
(2) a description of the degree to which the United States
has a policy of openness or flexibility for the consideration
of capabilities that may not fall within the scope of counter
intervention capabilities included in the list required under
paragraph (1), due to potential changes, such as--
(A) the evolution of defense technologies;
(B) the identification of new concepts of operation
or ways to employ certain capabilities; and
(C) other factors that might change assessments by
the United States and Taiwan of what constitutes
counter intervention capabilities.
SEC. 206. COMPREHENSIVE TRAINING PROGRAM.
(a) In General.--The Secretary of State, in consultation with the
Secretary of Defense, shall establish a comprehensive training program
with the Government of Taiwan that is designed--
(1) to achieve interoperability;
(2) to familiarize the militaries of the United States and
Taiwan with each other; and
(3) to improve Taiwan's defense capabilities.
(b) Elements.--The training program established pursuant to
subsection (a) shall include joint United States-Taiwan--
(1) contingency tabletop exercises;
(2) war games; and
(3) robust, operationally relevant, or full-scale military
exercises.
(c) Annual Report.--Not later than 180 days after the date of the
enactment of this Act, and annually thereafter for the following 10
years, the Secretary of State, in consultation with the Secretary of
Defense, shall submit a report to the appropriate committees of
Congress that describes the establishment and implementation of the
training program established pursuant to subsection (a).
SEC. 207. MILITARY PLANNING MECHANISM.
The Secretary of Defense, in consultation with the Secretary of
State, shall establish a high-level military planning mechanism between
the United States and Taiwan that--
(1) is designed to oversee a Joint and Combined Exercise
Program and to coordinate International Military Education and
Training assistance and professional exchanges aimed at
determining and coordinating the acquisition of capabilities
for United States and Taiwan military forces to address the
needs of currently anticipated and future contingencies; and
(2) may be modeled after the Joint United States Military
Advisory Group Thailand, or any such similar existing
arrangement, as determined by the Secretary of Defense.
SEC. 208. ASSESSMENT OF TAIWAN'S NEEDS FOR CIVILIAN DEFENSE AND
RESILIENCE.
(a) Assessment Required.--Not later than 120 days after the date of
enactment of this Act, the Secretary of State and the Secretary of
Defense, in consultation with heads of other relevant Federal
departments and agencies, shall submit a written, classified assessment
of Taiwan's needs in the areas of civilian defense and resilience to
the appropriate committees of Congress, the Committee on Appropriations
of the Senate, and the Committee on Appropriations of the House of
Representatives.
(b) Matters To Be Included.--The assessment required under
subsection (a) shall--
(1) analyze the potential role of Taiwan's public and
civilian assets in defending against various scenarios to
coerce or conduct military aggression against Taiwan;
(2) carefully analyze Taiwan's needs for enhancing its
defensive capabilities through the support of civilians and
civilian sectors, including--
(A) greater utilization of Taiwan's high tech labor
force;
(B) the creation of clear structures and logistics
support for civilian defense role allocation;
(C) recruitment and skills training for Taiwan's
defense and civilian sectors; and
(D) other defense needs and considerations at the
provincial, city, and neighborhood levels;
(3) analyze Taiwan's needs for enhancing resiliency among
its people and in key economic sectors; and
(4) identify the areas and means through which the United
States could provide training and assistance to support the
needs discovered through the assessment and fill any critical
gaps where capacity falls short of such needs.
(c) Form of Report.--Notwithstanding the classified nature of the
assessment required under subsection (a), the assessment shall be
shared with appropriate officials of the Government of Taiwan to
facilitate cooperation.
(d) Authorization of Appropriations.--
(1) In general.--There is authorized to be appropriated to
complete the assessment required under subsection (a)--
(A) $500,000 for the Department of State; and
(B) $500,000 for the Department of Defense.
(2) Transfer authority.--The Secretary of State and the
Secretary of Defense are authorized to transfer any funds
appropriated to their respective departments pursuant to
paragraph (1) to other Federal departments and agencies for the
purposes of facilitating the contributions of such departments
and agencies to the assessment required under subsection (a).
SEC. 209. PRIORITIZING EXCESS DEFENSE ARTICLE TRANSFERS FOR TAIWAN.
(a) Sense of Congress.--It is the sense of Congress that the United
States Government should appropriately prioritize the review of excess
defense article transfers to Taiwan.
(b) Five-Year Plan.--Not later than 90 days after the date of the
enactment of this Act, the President shall--
(1) develop a 5-year plan to appropriately prioritize
excess defense article transfers to Taiwan; and
(2) submit a report to the appropriate committees of
Congress that describes such plan.
(c) Required Coordination.--The United States Government shall
coordinate and align excess defense article transfers with capacity
building efforts of Taiwan.
(d) Transfer Authority.--
(1) In general.--Section 516(c)(2) of the Foreign
Assistance Act of 1961 (22 U.S.C. 2321j(c)(2)) is amended by
striking ``and to the Philippines'' and inserting ``, to the
Philippines, and to Taiwan''.
(2) Treatment of taiwan.--With respect to the transfer of
excess defense articles under section 516(c)(2) of the Foreign
Assistance Act of 1961, as amended by paragraph (1), Taiwan
shall receive the same benefits as the other countries referred
to in such section.
SEC. 210. FAST-TRACKING SALES TO TAIWAN UNDER THE FOREIGN MILITARY
SALES PROGRAM.
(a) Prioritized Processing of Foreign Military Sales Requests From
Taiwan.--The Secretary of State, in coordination with the Secretary of
Defense shall appropriately prioritize and expedite the processing of
requests from Taiwan under the Foreign Military Sales program and may
not delay the processing of such requests for bundling purposes.
(b) Annual Report.--Not later than 180 days after the date of the
enactment of this Act, and annually thereafter for the following 10
years, the Secretary of State, in coordination with the Secretary of
Defense, shall submit a report to the appropriate committees of
Congress that describes the steps that have been taken to carry out
subsection (a).
SEC. 211. WHOLE-OF-GOVERNMENT DETERRENCE MEASURES TO RESPOND TO THE
PEOPLE'S REPUBLIC OF CHINA'S FORCE AGAINST TAIWAN.
(a) Briefing Required.--Not later than 180 days after the date of
the enactment of this Act, and annually thereafter for the following 5
years, the Secretary of State, the Secretary of the Treasury, the
Secretary of Defense, the Secretary of Commerce, the Director of
National Intelligence, and any other relevant heads of Federal
departments and agencies shall provide a detailed briefing to the
appropriate committees of Congress regarding--
(1) all available economic, diplomatic, and other strategic
measures to deter the use of force by the People's Republic of
China, including coercion, grey-zone tactics, assertions, shows
of force, quarantines, embargoes, or other measures to change
the status quo of Taiwan;
(2) efforts by the United States Government to deter the
use of force by the People's Republic of China to change the
status quo of Taiwan; and
(3) progress to date of all coordination efforts between
the United States Government and its allies and partners with
respect to deterring the use of force to change the status quo
of Taiwan.
(b) Coordinated Consequences With Allies and Partners.--The
Secretary of State shall coordinate with United States allies and
partners to identify and develop significant economic, diplomatic, and
other measures to deter the use of force by the People's Republic of
China to change the status quo of Taiwan.
SEC. 212. INCREASE IN ANNUAL WAR RESERVES STOCKPILE ADDITIONS AND
SUPPORT FOR TAIWAN.
(a) In General.--Section 514(b)(2)(A) of the Foreign Assistance Act
of 1961 (22 U.S.C. 2321j(b)(2)(A)) is amended by striking
``$200,000,000'' and all that follows and inserting ``$500,000,000 for
any of the fiscal years 2023, 2024, or 2025.''.
(b) Establishment.--Subject to section 514 of the Foreign
Assistance Act of 1961 (22 U.S.C. 2321h), the President may establish a
war reserve stockpile for Taiwan that consists primarily of munitions.
(c) Inclusion of Taiwan Among Other Allies Eligible for Defense
Articles.--Chapter 2 of part II of the Foreign Assistance Act of 1961
(22 U.S.C. 2311 et seq.) is amended--
(1) in section 514(c)(2) (22 U.S.C. 2321h(c)(2)), by
inserting ``Taiwan,'' after ``Thailand,''; and
(2) in section 516(c)(2) (22 U.S.C. 2321j(c)(2)), by
inserting ``to Taiwan,'' after ``major non-NATO allies on such
southern and southeastern flank,''.
(d) Annual Briefing.--Not later than 1 year after the date of
enactment of this Act, and annually thereafter for 7 years, the
President shall provide a briefing to the appropriate committees of
Congress regarding the status of a war reserve stockpile established
under subsection (b).
SEC. 213. DESIGNATION OF TAIWAN AS A MAJOR NON-NATO ALLY.
Section 517 of the Foreign Assistance Act of 1961 (22 U.S.C. 2321k)
is amended by adding at the end the following:
``(c) Additional Designations.--
``(1) In general.--Taiwan is designated as a major non-NATO
ally for purposes of this Act, the Arms Export Control Act (22
U.S.C. 2751 et seq.), and section 2350a of title 10, United
States Code.
``(2) Notice of termination of designation.--The President
shall notify Congress in accordance with subsection (a)(2)
before terminating the designation specified in paragraph
(1).''.
TITLE III--COUNTERING PEOPLE'S REPUBLIC OF CHINA'S AGGRESSION AND
INFLUENCE CAMPAIGNS
SEC. 301. STRATEGY TO RESPOND TO INFLUENCE AND INFORMATION OPERATIONS
TARGETING TAIWAN.
(a) In General.--Not later than 180 days after the date of the
enactment of this Act, the Secretary of State shall develop and
implement a strategy to respond to--
(1) the Chinese Communist Party's United Front; and
(2) information and disinformation campaigns, cyber
attacks, and nontraditional propaganda measures supported by
the Government of the People's Republic of China and the
Chinese Communist Party that are directed toward persons or
entities in Taiwan.
(b) Elements.--The strategy required under subsection (a) shall
include--
(1) the development of a response to propaganda and
disinformation campaigns by the People's Republic of China and
cyber-intrusions targeting Taiwan, including--
(A) assistance in building the capacity of the
Government of Taiwan and private-sector entities to
document and expose propaganda and disinformation
supported by the Government of the People's Republic of
China, the Chinese Communist Party, or affiliated
entities;
(B) assistance to enhance the Government of
Taiwan's ability to develop a whole-of-government
strategy to respond to sharp power operations,
including election interference; and
(C) media training for Taiwan officials and other
Taiwan entities targeted by disinformation campaigns;
(2) the development of a response to political influence
operations that includes an assessment of the extent of
influence exerted by the Government of the People's Republic of
China and the Chinese Communist Party in Taiwan on local
political parties, financial institutions, media organizations,
and other entities;
(3) support for exchanges and other technical assistance to
strengthen the Taiwan legal system's ability to respond to
sharp power operations; and
(4) the establishment of a coordinated partnership, through
the American Institute in Taiwan's Global Cooperation and
Training Framework, with like-minded governments to share data
and best practices with the Government of Taiwan regarding ways
to address sharp power operations supported by the Government
of the People's Republic of China and the Chinese Communist
Party.
SEC. 302. STRATEGY TO COUNTER ECONOMIC COERCION BY THE PEOPLE'S
REPUBLIC OF CHINA TARGETING COUNTRIES AND ENTITIES THAT
SUPPORT TAIWAN.
(a) In General.--Not later than 90 days after the date of the
enactment of this Act, and every 180 days thereafter for the following
5 years, the Secretary of State shall submit to the appropriate
committees of Congress a description of the strategy being used by the
Department of State to respond to the Government of the People's
Republic of China's increased economic coercion against countries which
have strengthened their ties with, or support for, Taiwan.
(b) Assistance for Countries and Entities Targeted by the People's
Republic of China for Economic Coercion.--The Department of State, the
United States Agency for International Development, the United States
International Development Finance Corporation, the Department of
Commerce and the Department of the Treasury shall provide appropriate
assistance to countries and entities that are subject to trade
restrictions and other forms of economic coercion by the People's
Republic of China to support its supply chain resilience and other
economic measures in response to the trade restrictions imposed by
China.
TITLE IV--INCLUSION OF TAIWAN IN INTERNATIONAL ORGANIZATIONS
SEC. 401. PARTICIPATION OF TAIWAN IN INTERNATIONAL ORGANIZATIONS.
(a) Statement of Policy.--It is the policy of the United States to
promote Taiwan's inclusion and meaningful participation in meetings
held by international organizations.
(b) Support for Meaningful Participation.--The Permanent
Representative of the United States to the United Nations and other
relevant United States officials should actively support Taiwan's
meaningful participation in all appropriate international
organizations.
(c) Report.--Not later than 90 days after the date of the enactment
of this Act, the Secretary of State shall submit a report to the
appropriate congressional committees that--
(1) describes the People's Republic of China's efforts at
the United Nations and other international bodies to block
Taiwan's meaningful participation and inclusion; and
(2) recommends appropriate responses that should be taken
by the United States to carry out the policy described in
subsection (a).
SEC. 402. PARTICIPATION OF TAIWAN IN THE INTER-AMERICAN DEVELOPMENT
BANK.
It is the sense of Congress that--
(1) the United States fully supports Taiwan's participation
in, and contribution to, international organizations and
understands the importance of the relationship between Taiwan
and the United States;
(2) diversifying the donor base of the Inter-American
Development Bank (referred to in this title as the ``IDB'') and
increasing ally engagement in the Western Hemisphere reinforces
United States national interests;
(3) Taiwan's significant contribution to the development
and economies of Latin America and the Caribbean demonstrate
that Taiwan's membership in the IDB as a non-borrowing member
would benefit the IDB and the entire Latin American and
Caribbean region; and
(4) non-borrowing membership in the IDB would allow Taiwan
to substantially leverage and channel the immense resources
Taiwan already provides to Latin America and the Caribbean to
reach a larger number of beneficiaries.
SEC. 403. PLAN FOR TAIWAN'S PARTICIPATION IN THE INTER-AMERICAN
DEVELOPMENT BANK.
The Secretary of State, in coordination with the Secretary of the
Treasury, is authorized--
(1) to initiate a United States plan to endorse non-
borrowing IDB membership for Taiwan; and
(2) to instruct the United States Governor of the IDB to
work with the IDB Board of Governors to admit Taiwan as a non-
borrowing member of the IDB.
SEC. 404. REPORT CONCERNING MEMBER STATE STATUS FOR TAIWAN AT THE
INTER-AMERICAN DEVELOPMENT BANK.
Not later than 90 days after the date of the enactment of this Act,
and not later than April 1 of each year thereafter, the Secretary of
State, in coordination with the Secretary of the Treasury, shall submit
an unclassified report to the Committee on Foreign Relations of the
Senate and the Committee on Foreign Affairs of the House of
Representatives that--
(1) describes the United States plan to endorse and obtain
non-borrowing membership status for Taiwan at the IDB;
(2) includes an account of the efforts made by the
Secretary of State and the Secretary of the Treasury to
encourage IDB member states to promote Taiwan's bid to obtain
non-borrowing membership at the IDB; and
(3) identifies the steps that the Secretary of State and
the Secretary of the Treasury will take to endorse and obtain
non-borrowing membership status for Taiwan at the IDB in the
following year.
SEC. 405. CLARIFICATION REGARDING UNITED NATIONS GENERAL ASSEMBLY
RESOLUTION 2758 (XXVI).
Section 2(a) of the Taiwan Allies International Protection and
Enhancement Initiative (TAIPEI) Act of 2019 (Public Law 116-135)
(relating to diplomatic relations with Taiwan) is amended by adding at
the end the following:
``(10) United Nations General Assembly Resolution 2758
(1971)--
``(A) established the representatives of the
Government of the People's Republic of China as the
only lawful representatives of China to the United
Nations;
``(B) did not address the issue of representation
of Taiwan and its people in the United Nations or in
any related organizations; and
``(C) did not take a position on the relationship
between the People's Republic of China and Taiwan or
include any statement pertaining to Taiwan's
sovereignty.
``(11) The United States opposes any initiative that seeks
to change Taiwan's status without the consent of the people of
Taiwan.''.
TITLE V--ENHANCED DEVELOPMENT AND ECONOMIC COOPERATION BETWEEN THE
UNITED STATES AND TAIWAN
SEC. 501. FINDINGS.
Congress makes the following findings:
(1) Taiwan has been an important trading partner of the
United States for many years, accounting for $114,000,000,000
in two-way trade in 2021.
(2) Taiwan has demonstrated the capacity to hold a strong
economic partnership with the United States. Along with a
robust trading profile of goods and services, Taiwan supports
an estimated 208,000 American jobs, a number that will only
increase with a comprehensive bilateral trade agreement.
(3) In addition to supplementing United States goods and
services, Taiwan is a reliable partner in many of our Nation's
industries, which is not only critical for diversifying our
Nation's supply chains, but is also essential to reducing our
Nation's reliance on other countries, such as China, who seek
to leverage supply chain inefficiencies in their path to
regional and global dominance. Such diversification of our
Nation's supply chain is critical to United States national
security.
(4) The challenges to establishing an agreement with
Taiwan, such as reaching an agreement on agricultural
standards, will not prevent the completion of a bilateral trade
agreement. Taiwan has already taken steps to further the
progress towards such an agreement by announcing its intent to
lift their restrictions on United States pork and beef
products, which will greatly increase the accessibility of
American farmers and ranchers to Taiwan markets. In light of
this important development, the United States should
immediately move forward with substantial negotiations for a
comprehensive bilateral trade agreement with Taiwan.
(5) A free and open Indo-Pacific is a goal that needs to be
actively pursued to counter China's use of unfair trading
practices and other policies to advance its economic dominance
in the Indo-Pacific region. An agreement with Taiwan would--
(A) help the United States accomplish this goal by
building a network of like-minded governments dedicated
to fair competition and open markets that are free from
government manipulation; and
(B) serve as a signal to other nations that Taiwan
is a viable partner that is open for business.
(6) Since November 2020, Taiwan and the United States have
engaged in the U.S.-Taiwan Economic Prosperity Partnership
Dialogue, covering a broad range of economic issues including--
(A) 5G networks and telecommunications security;
(B) supply chains resiliency;
(C) infrastructure cooperation;
(D) renewable energy;
(E) global heath; and
(F) science and technology.
(7) A trade agreement between the United States and Taiwan
would promote security and economic growth for the United
States, Taiwan, and the entire Indo-Pacific region.
(8) Leaving Taiwan out of the conversation on Indo-Pacific
Economic Framework would--
(A) create significant distortions for the
structure of the regional and global economic
architecture; and
(B) run counter to the United States economic
interests.
SEC. 502. SENSE OF CONGRESS ON A FREE TRADE AGREEMENT WITH TAIWAN, THE
INDO-PACIFIC ECONOMIC FRAMEWORK, AND CBP PRECLEARANCE.
It is the sense of Congress that--
(1) the United States Trade Representative should resume
meetings under the United States and Taiwan Trade and
Investment Framework Agreement with the goal of reaching a
bilateral free trade agreement with Taiwan;
(2) the United States Trade Representative and the
Secretary of Commerce should undertake efforts to assure
Taiwan's engagement and participation in the Indo-Pacific
Economic Framework; and
(3) the United States should utilize and expand
Preclearance programs to meet the needs of the United States
travel and tourism industry, including by prioritizing the
establishment of Preclearance facilities with Indo-Pacific
allies and partners, including Taiwan.
TITLE VI--SUPPORTING UNITED STATES EDUCATIONAL AND EXCHANGE PROGRAMS
WITH TAIWAN
SEC. 601. SHORT TITLE.
This title may be cited as the ``Taiwan Fellowship Act''.
SEC. 602. FINDINGS.
Congress makes the following findings:
(1) The Taiwan Relations Act (Public Law 96-8; 22 U.S.C.
3301 et seq.) affirmed United States policy ``to preserve and
promote extensive, close, and friendly commercial, cultural,
and other relations between the people of the United States and
the people on Taiwan, as well as the people on the China
mainland and all other peoples of the Western Pacific area''.
(2) Consistent with the Asia Reassurance Initiative Act of
2018 (Public Law 115-409), the United States has grown its
strategic partnership with Taiwan's vibrant democracy of
23,000,000 people.
(3) Despite a concerted campaign by the People's Republic
of China to isolate Taiwan from its diplomatic partners and
from international organizations, including the World Health
Organization, Taiwan has emerged as a global leader in the
coronavirus global pandemic response, including by donating
more than 2,000,000 surgical masks and other medical equipment
to the United States.
(4) The creation of a United States fellowship program with
Taiwan would support a key priority of expanding people-to-
people exchanges, which was outlined in the President's 2017
National Security Strategy.
SEC. 603. PURPOSES.
The purposes of this title are--
(1) to further strengthen the United States-Taiwan
strategic partnership and broaden understanding of the Indo-
Pacific region by temporarily assigning officials of any branch
of the United States Government to Taiwan for intensive study
in Mandarin and placement as Fellows with the governing
authorities on Taiwan or a Taiwanese civic institution;
(2) to provide for eligible United States personnel--
(A) to learn or strengthen Mandarin Chinese
language skills; and
(B) to expand their understanding of the political
economy of Taiwan and the Indo-Pacific region; and
(3) to better position the United States to advance its
economic, security, and human rights interests and values in
the Indo-Pacific region.
SEC. 604. DEFINITIONS.
In this title:
(1) Agency head.--The term ``agency head'' means--
(A) with respect to the executive branch of United
States Government or an agency of the legislative
branch other than the Senate or the House of
Representatives, the head of the respective agency;
(B) with respect to the judicial branch of United
States Government, the chief judge of the respective
court;
(C) with respect to the Senate, the President pro
tempore, in consultation with the majority leader and
the minority leader of the Senate; and
(D) with respect to the House of Representatives,
the Speaker of the House, in consultation with the
majority leader and the minority leader of the House of
Representatives.
(2) Agency of the united states government.--The term
``agency of the United States Government'' includes--
(A) any agency of the legislative branch;
(B) any court of the judicial branch; and
(C) any agency of the executive branch.
(3) Appropriate congressional committees.--The term
``appropriate congressional committees'' means--
(A) the Committee on Foreign Relations of the
Senate;
(B) the Committee on Appropriations of the Senate;
(C) the Committee on Foreign Affairs of the House
of Representatives; and
(D) the Committee on Appropriations of the House of
Representatives.
(4) Detailee.--The term ``detailee''--
(A) means an employee of a branch of the United
States Government who is on loan to the American
Institute in Taiwan, without a change of position from
the agency at which he or she is employed; and
(B) does not include employees of the legislative
branch, who may separate from their branch in order to
fulfill the terms of their fellowship pursuant to
section 607(g).
(5) Implementing partner.--The term ``implementing
partner'' means any United States organization described in
501(c)(3) of the Internal Revenue Code of 1986 that--
(A) performs logistical, administrative, and other
functions, as determined by the Department of State and
the American Institute of Taiwan in support of the
Taiwan Fellowship Program; and
(B) enters into a cooperative agreement with the
American Institute in Taiwan to administer the Taiwan
Fellowship Program.
(6) Program.--The term ``Program'' means the Taiwan
Fellowship Program established pursuant to section 605.
SEC. 605. TAIWAN FELLOWSHIP PROGRAM.
(a) Establishment.--The Secretary of State--
(1) shall establish the Taiwan Fellowship Program to
provide eligible United States citizens with fellowship
opportunities in Taiwan lasting up to 2 years; and
(2) may modify the name of the Program, in consultation
with the American Institute in Taiwan and the implementing
partner.
(b) Grants.--
(1) In general.--The American Institute in Taiwan should
use amounts appropriated pursuant to section 608(a) to provide
annual or multi-year grants to an appropriate implementing
partner.
(2) Fellowships.--The Secretary of State, in consultation
with the American Institute in Taiwan and, as appropriate, the
implementing partner, subject to available funding, should
award to eligible United States citizens--
(A) not fewer than 5 fellowships during each of the
first 2 years of the Program; and
(B) not fewer than 10 fellowships during each of
the remaining years of the Program.
(c) International Agreement; Implementing Partner.--Not later than
30 days after the date of the enactment of this Act, the American
Institute in Taiwan, in consultation with the Secretary of State,
should--
(1) begin negotiations with the Taipei Economic and
Cultural Representative Office, or with another appropriate
entity, for the purpose of entering into an agreement to
facilitate the placement of fellows in an agency of the
governing authorities on Taiwan; and
(2) begin the process of selecting an implementing partner,
which--
(A) shall agree to meet all of the legal
requirements required to operate in Taiwan; and
(B) shall be composed of staff who demonstrate
significant experience managing exchange programs in
the Indo-Pacific region.
(d) Curriculum.--
(1) First year.--During the first year of each fellowship
under this section, each fellow should study--
(A) the Mandarin Chinese language;
(B) the people, history, and political climate on
Taiwan; and
(C) the issues affecting the relationship between
the United States and the Indo-Pacific region.
(2) Second year.--During the second year of each fellowship
under this section, each fellow, subject to the approval of the
Secretary of State, the American Institute in Taiwan, and the
implementing partner, and in accordance with the purposes of
this title, shall work in--
(A) a parliamentary office, ministry, or other
agency of the governing authorities on Taiwan; or
(B) an organization outside of the governing
authorities on Taiwan, whose interests are associated
with the interests of the fellow and the agency of the
United States Government from which the fellow had been
employed.
(e) Flexible Fellowship Duration.--Notwithstanding any requirement
under this section, the Secretary of State, in consultation with the
American Institute in Taiwan and, as appropriate, the implementing
partner, may alter the curriculum requirements under subsection (d) for
fellows whose placement in a parliamentary office, ministry, or other
agency of the governing authorities on Taiwan is for a period shorter
than 2 years.
(f) Program Requirements.--
(1) Eligibility requirements.--A United States citizen is
eligible for a fellowship under this section if he or she--
(A) is an employee of the United States Government;
(B) has at least 2 years of experience in any
branch of the United States Government;
(C) has a demonstrated professional or educational
background in the relationship between the United
States and countries in the Indo-Pacific region; and
(D) has demonstrated his or her commitment to
further service in the United States Government.
(2) Responsibilities of fellows.--Each recipient of a
fellowship under this section shall agree, as a condition of
such fellowship--
(A) to maintain satisfactory progress in language
training and appropriate behavior in Taiwan, as
determined by the Department of State, the American
Institute in Taiwan and, as appropriate, its
implementing partner;
(B) to refrain from engaging in any intelligence or
intelligence-related activity on behalf of the United
States Government; and
(C) to continue Federal Government employment for a
period of not shorter than 4 years after the conclusion
of the fellowship or for not shorter than 2 years for a
fellowship that is 1 year or shorter.
(3) Responsibilities of implementing partner.--
(A) Selection of fellows.--The implementing
partner, in close coordination with the Department of
State and the American Institute in Taiwan, shall--
(i) make efforts to recruit fellowship
candidates who reflect the diversity of the
United States;
(ii) select fellows for the Taiwan
Fellowship Program based solely on merit, with
appropriate supervision from the Department of
State and the American Institute in Taiwan; and
(iii) prioritize the selection of
candidates willing to serve a fellowship
lasting 1 year or longer.
(B) First year.--The implementing partner should
provide each fellow in the first year (or shorter
duration, as jointly determined by the Department of
State and the American Institute in Taiwan for those
who are not serving a 2-year fellowship) with--
(i) intensive Mandarin Chinese language
training; and
(ii) courses in the political economy of
Taiwan, China, and the broader Indo-Pacific.
(C) Waiver of required training.--The Department of
State, in coordination with the American Institute in
Taiwan and, as appropriate, the implementing partner,
may waive any of the training required under paragraph
(2) to the extent that a fellow has Mandarin language
skills, knowledge of the topic described in paragraph
(2)(B), or for other related reasons approved by the
Department of State and the American Institute in
Taiwan. If any of the training requirements are waived
for a fellow serving a 2-year fellowship, the training
portion of his or her fellowship may be shortened to
the extent appropriate.
(D) Office; staffing.--The implementing partner, in
consultation with the Department of State and the
American Institute in Taiwan, shall maintain an office
and at least 1 full-time staff member in Taiwan--
(i) to liaise with the American Institute
in Taiwan and the governing authorities on
Taiwan; and
(ii) to serve as the primary in-country
point of contact for the recipients of
fellowships under this Act and their
dependents.
(E) Other functions.--The implementing partner
shall perform other functions in association in support
of the Taiwan Fellowship Program, including logistical
and administrative functions, as prescribed by the
Department of State and the American Institute in
Taiwan.
(4) Noncompliance.--
(A) In general.--Any fellow who fails to comply
with the requirements under this section shall
reimburse the American Institute in Taiwan for--
(i) the Federal funds expended for the
fellow's participation in the fellowship, as
set forth in paragraphs (2) and (3); and
(ii) interest accrued on such funds
(calculated at the prevailing rate).
(B) Full reimbursement.--Any fellow who violates
paragraph (1) or (2) of subsection (b) shall reimburse
the American Institute in Taiwan in an amount equal to
the sum of--
(i) all of the Federal funds expended for
the fellow's participation in the fellowship;
and
(ii) interest on the amount specified in
subparagraph (A), which shall be calculated at
the prevailing rate.
(C) Pro rata reimbursement.--Any fellow who
violates subsection (b)(3) shall reimburse the American
Institute in Taiwan in an amount equal to the
difference between--
(i) the amount specified in paragraph (2);
and
(ii) the product of--
(I) the amount the fellow received
in compensation during the final year
of the fellowship, including the value
of any allowances and benefits received
by the fellow; multiplied by
(II) the percentage of the period
specified in subsection (b)(3) during
which the fellow did not remain
employed by the Federal Government.
SEC. 606. REPORTS AND AUDITS.
(a) Annual Report.--Not later than 90 days after the selection of
the first class of fellows under this title, and annually thereafter,
the Department of State shall offer to brief the appropriate
congressional committees regarding the following issues:
(1) An assessment of the performance of the implementing
partner in fulfilling the purposes of this Act.
(2) The names and sponsoring agencies of the fellows
selected by the implementing partner and the extent to which
such fellows represent the diversity of the United States.
(3) The names of the parliamentary offices, ministries,
other agencies of the governing authorities on Taiwan, and
nongovernmental institutions to which each fellow was assigned
during the second year of the fellowship.
(4) Any recommendations, as appropriate, to improve the
implementation of the Taiwan Fellows Program, including added
flexibilities in the administration of the program.
(5) An assessment of the Taiwan Fellows Program's value
upon the relationship between the United States and Taiwan or
the United States and Asian countries.
(b) Annual Financial Audit.--
(1) In general.--The financial records of any implementing
partner shall be audited annually in accordance with generally
accepted auditing standards by independent certified public
accountants or independent licensed public accountants who are
certified or licensed by a regulatory authority of a State or
another political subdivision of the United States.
(2) Location.--Each audit under paragraph (1) shall be
conducted at the place or places where the financial records of
the implementing partner are normally kept.
(3) Access to documents.--The implementing partner shall
make available to the accountants conducting an audit under
paragraph (1)--
(A) all books, financial records, files, other
papers, things, and property belonging to, or in use
by, the implementing partner that are necessary to
facilitate the audit; and
(B) full facilities for verifying transactions with
the balances or securities held by depositories, fiscal
agents, and custodians.
(4) Report.--
(A) In general.--Not later than 6 months after the
end of each fiscal year, the implementing partner shall
provide a report containing the findings of the audit
conducted for such fiscal year pursuant to paragraph
(1) to the Secretary of State and the American
Institute in Taiwan.
(B) Contents.--Each audit report under subparagraph
(A) shall--
(i) set forth the scope of the audit;
(ii) include such statements, along with
the auditor's opinion of those statements, as
may be necessary to present fairly the
implementing partner's assets and liabilities,
surplus or deficit, with reasonable detail;
(iii) include a statement of the
implementing partner's income and expenses
during the year; and
(iv) include a schedule of--
(I) all contracts and grants
requiring payments greater than $5,000;
and
(II) any payments of compensation,
salaries, or fees at a rate greater
than $5,000 per year.
(C) Copies.--Each audit report under subparagraph
(A) shall be produced in sufficient copies for
distribution to the public.
SEC. 607. TAIWAN FELLOWS ON DETAIL FROM GOVERNMENT SERVICE.
(a) In General.--
(1) Detail authorized.--With the approval of the Secretary
of State, an agency head may detail, for a period of not more
than 2 years, an employee of the agency of the United States
Government who has been awarded a fellowship under this title,
to the American Institute in Taiwan for the purpose of
assignment to the governing authorities on Taiwan or an
organization described in section 605(d)(2)(B).
(2) Agreement.--Each detailee or legislative branch
employee who separates from service of the sponsoring agency
shall enter into a written agreement with the Federal
Government before receiving a fellowship, in which the fellow
shall agree--
(A) to continue in the service of the sponsoring
agency at the end of fellowship for a period of at
least 4 years (or at least 2 years if the fellowship
duration is 1 year or shorter) unless the detailee is
involuntarily separated from the service of such
agency; and
(B) to pay to the American Institute in Taiwan any
additional expenses incurred by the Federal Government
in connection with the fellowship if the detailee
voluntarily separates from service with the sponsoring
agency before the end of the period for which the
detailee has agreed to continue in the service of such
agency.
(3) Exception.--The payment agreed to under paragraph
(2)(B) may not be required from--
(A) a detailee who leaves the service of the
sponsoring agency to enter into the service of another
agency of the United States Government unless the head
of the sponsoring agency notifies the detailee before
the effective date of entry into the service of the
other agency that payment will be required under this
subsection; or
(B) a legislative branch employee who separates
from service of such agency to participate in the
fellowship.
(b) Status as Government Employee.--A detailee--
(1) is deemed, for the purpose of preserving allowances,
privileges, rights, seniority, and other benefits, to be an
employee of the sponsoring agency;
(2) is entitled to pay, allowances, and benefits from funds
available to such agency, which is deemed to comply with
section 5536 of title 5, United States Code; and
(3) may be assigned to a position with an entity described
in section 605(d)(2)(A) if acceptance of such position does not
involve--
(A) the taking of an oath of allegiance to another
government; or
(B) the acceptance of compensation or other
benefits from any foreign government by such detailee.
(c) Responsibilities of Sponsoring Agency.--
(1) In general.--The Federal agency from which a detailee
is detailed should provide the fellow allowances and benefits
that are consistent with Department of State Standardized
Regulations or other applicable rules and regulations,
including--
(A) a living quarters allowance to cover the cost
of housing in Taiwan;
(B) a cost of living allowance to cover any
possible higher costs of living in Taiwan;
(C) a temporary quarters subsistence allowance for
up to 7 days if the fellow is unable to find housing
immediately upon arriving in Taiwan;
(D) an education allowance to assist parents in
providing the fellow's minor children with educational
services ordinarily provided without charge by public
schools in the United States;
(E) moving expenses to transport personal
belongings of the fellow and his or her family in their
move to Taiwan, which is comparable to the allowance
given for American Institute in Taiwan employees
assigned to Taiwan; and
(F) an economy-class airline ticket to and from
Taiwan for each fellow and the fellow's immediate
family.
(2) Modification of benefits.--The American Institute in
Taiwan and its implementing partner, with the approval of the
Secretary of State, may modify the benefits set forth in
paragraph (1) if such modification is warranted by fiscal
circumstances.
(d) No Financial Liability.--The American Institute in Taiwan, the
implementing partner, and any governing authorities on Taiwan or
nongovernmental entities in Taiwan at which a fellow is detailed during
the second year of the fellowship may not be held responsible for the
pay, allowances, or any other benefit normally provided to the
detailee.
(e) Reimbursement.--Fellows may be detailed under subsection (a)(1)
without reimbursement to the United States by the American Institute in
Taiwan.
(f) Allowances and Benefits.--Detailees and legislative branch
fellows who separate from service to participate in the fellowship may
be paid by the American Institute in Taiwan for the allowances and
benefits listed in subsection (c).
(g) Separation of Legislative Branch Personnel During the
Fellowships.--
(1) In general.--Under such terms and conditions as the
agency head may direct, a legislative branch agency of the
United States Government may separate from Government service
for a specified period any officer or employee of such agency
who accepts a fellowship under the Taiwan Fellowship Program
and is not a detailee under subsection (a).
(2) Rights and benefits.--
(A) In general.--Notwithstanding section 8347(o),
8713, or 8914 of title 5, United States Code, and in
accordance with regulations of the Office of Personnel
Management, a legislative branch employee, while
serving as a fellow who is not a detailee under
subsection (a), is entitled to the rights and benefits
described in subsections (a) and (d) of section 3582 of
title 5, United States Code.
(B) Reimbursement.--The American Institute in
Taiwan shall reimburse the employing agency for any
costs incurred for fellows under subsections (a) and
(d) of section 3582 of title 5, United States Code,
during a fellowship under this title and may provide
any other pay or allowances to such fellows.
SEC. 608. FUNDING.
(a) Authorization of Appropriations.--There are authorized to be
appropriated to the American Institute in Taiwan--
(1) for fiscal year 2023, $2,900,000, of which--
(A) $500,000 shall be used to launch the Taiwan
Fellowship Program through the issuance of a
competitive grant to an appropriate implementing
partner;
(B) $2,300,000 shall be used for a grant to the
appropriate implementing partner; and
(C) $100,000 shall be used for management expenses
of the American Institute in Taiwan related to the
management of the Taiwan Fellowship Program; and
(2) for fiscal year 2023, and each succeeding fiscal year,
$2,400,000, of which--
(A) $2,300,000 shall be used for a grant to the
appropriate implementing partner; and
(B) $100,000 shall be used for management expenses
of the American Institute in Taiwan related to the
management of the Taiwan Fellowship Program.
(b) Private Sources.--The implementing partner selected to
implement the Taiwan Fellowship Program may accept, use, and dispose of
gifts or donations of services or property in carrying out such
program, subject to the review and approval of the American Institute
in Taiwan.
SEC. 609. SUPPORTING UNITED STATES EDUCATIONAL AND EXCHANGE PROGRAMS
WITH TAIWAN.
(a) Establishment of the United States-Taiwan Cultural Exchange
Foundation.--The Secretary of State should consider establishing an
independent nonprofit entity that--
(1) is dedicated to deepening ties between the future
leaders of Taiwan and the future leaders of the United States;
and
(2) works with State and local school districts and
educational institutions to send high school and university
students to Taiwan to study the Chinese language, culture,
history, politics, and other relevant subjects.
(b) Partner.--State and local school districts and educational
institutions, including public universities, are encouraged to partner
with the Taipei Economic and Cultural Representative Office in the
United States to establish programs to promote more educational and
cultural exchanges.
TITLE VII--MISCELLANEOUS PROVISIONS
SEC. 701. INVITATION OF TAIWANESE COUNTERPARTS TO HIGH-LEVEL BILATERAL
AND MULTILATERAL FORUMS AND EXERCISES.
(a) Statement of Policy.--It is the policy of the United States to
invite Taiwanese counterparts to participate in high-level bilateral
and multilateral summits, military exercises, and economic dialogues
and forums.
(b) Sense of Congress.--It is the sense of Congress that--
(1) the United States Government should invite Taiwan to
regional dialogues on issues of mutual concern;
(2) the United States Government and Taiwanese counterparts
should resume meetings under the United States-Taiwan Trade and
Investment Framework Agreement and reach a bilateral free trade
agreement;
(3) the United States Government should invite Taiwan to
participate in bilateral and multilateral military training
exercises;
(4) the United States Government and Taiwanese counterparts
should engage in a regular and routine strategic bilateral
dialogue on arms sales in accordance with Foreign Military
Sales mechanisms; and
(5) the United States Government should support export
licenses for direct commercial sales supporting Taiwan's
indigenous defensive capabilities.
SEC. 702. REPORT ON TAIWAN TRAVEL ACT.
(a) List of High-Level Visits.--Not later than 180 days after the
date of the enactment of this Act, and annually thereafter, the
Secretary of State, in accordance with the Taiwan Travel Act (Public
Law 115-135), shall submit to the appropriate congressional
committees--
(1) a list of high-level officials from the United States
Government who have traveled to Taiwan; and
(2) a list of high-level officials of Taiwan who have
entered the United States.
(b) Annual Report.--Not later than 90 days after the date of the
enactment of this Act, and annually thereafter, the Secretary of State
shall submit a report on the implementation of the Taiwan Travel Act to
the appropriate congressional committees.
SEC. 703. PROHIBITIONS AGAINST UNDERMINING UNITED STATES POLICY
REGARDING TAIWAN.
(a) Finding.--Congress finds that the efforts by the Government of
the People's Republic of China and the Chinese Communist Party to
compel private United States businesses, corporations, and
nongovernmental entities to use language mandated by the People's
Republic of China (referred to in this section as the ``PRC'') to
describe the relationship between Taiwan and the PRC are an
illegitimate attempt to enforce political censorship globally.
(b) Sense of Congress.--It is the sense of Congress that the United
States Government, in coordination with United States businesses and
nongovernmental entities, should formulate a code of conduct for, and
otherwise coordinate on, interacting with the Government of the PRC and
the Chinese Communist Party and their affiliated entities, the aim of
which is--
(1) to counter PRC operations that threaten free speech,
academic freedom, and the normal operations of United States
businesses and nongovernmental entities; and
(2) to counter PRC efforts to censor the way the world
refers to issues deemed sensitive to the PRC Government and
Chinese Communist Party leaders, including issues related to
Taiwan, Tibet, the Tiananmen Square Massacre, and the mass
internment of Uyghurs and other Turkic Muslims, among many
other issues.
(c) Prohibition Against Recognizing the People's Republic of
China's Claims to Sovereignty Over Taiwan.--
(1) Sense of congress.--It is the sense of Congress that--
(A) issues related to the sovereignty of Taiwan are
for the people of Taiwan to decide through the
democratic process they have established;
(B) the dispute between the PRC and Taiwan must be
resolved peacefully and with the assent of the people
of Taiwan;
(C) the 2 key obstacles to peaceful resolution
are--
(i) the authoritarian nature of the PRC
political system under one-party rule of the
Chinese Communist Party, which is fundamentally
incompatible with Taiwan's democracy; and
(ii) the PRC's pursuit of coercion and
aggression towards Taiwan, in potential
violation of the third United States-PRC Joint
Communique, which was completed on August 17,
1982; and
(D) any attempt to coerce or force the people of
Taiwan to accept a political arrangement that would
subject them to direct or indirect rule by the PRC,
including a ``one country, two systems'' framework,
would constitute a grave challenge to United States
security interests in the region.
(2) Statement of policy.--It is the policy of the United
States to oppose any attempt by the PRC authorities to
unilaterally impose a timetable or deadline for unification on
Taiwan.
(3) Prohibition on recognition of prc claims without the
assent of people of taiwan.--No department or agency of the
United States Government may formally or informally recognize
PRC claims to sovereignty over Taiwan without the assent of the
people of Taiwan, as expressed directly through the democratic
process.
(4) Treatment of government of taiwan.--
(A) In general.--The Department of State and other
United States Government agencies shall--
(i) treat the democratically elected
government of Taiwan as the legitimate
representative of the people of Taiwan; and
(ii) end the outdated practice of referring
to the Government in Taiwan as the
``authorities''.
(B) No restrictions.--Notwithstanding the continued
supporting role of the American Institute in Taiwan in
carrying out United States foreign policy and
protecting United States interests in Taiwan, the
United States Government may not place any undue
restrictions on the ability of officials of the
Department of State and other United States Government
agencies from interacting directly and routinely with
counterparts in the Taiwan government.
(C) Rule of construction.--Nothing in this
paragraph may be construed as--
(i) restoring diplomatic relations with the
Republic of China (Taiwan), which were
terminated on January 1, 1979; or
(ii) altering the United States
Government's position on Taiwan's international
status.
(d) Strategy To Protect United States Businesses and
Nongovernmental Entities From Coercion.--
(1) In general.--Not later than 90 days after the date of
the enactment of this Act, the Secretary of State, in
consultation with the Secretary of Commerce, the Secretary of
the Treasury, and the heads of other relevant Federal agencies,
shall submit an unclassified report, with a classified annex,
if necessary, on how to protect United States businesses and
nongovernmental entities from PRC operations, including
coercion and threats that lead to censorship or self-
censorship, or which compel compliance with political or
foreign policy positions of the Government of the People's
Republic of China and the Chinese Communist Party.
(2) Elements.--The strategy shall include--
(A) information regarding efforts by the PRC
Government to censor the websites of United States
airlines, hotels, and other businesses regarding the
relationship between Taiwan and the PRC;
(B) information regarding efforts by the PRC
Government to target United States nongovernmental
entities through operations intended to weaken support
for Taiwan;
(C) information regarding United States Government
efforts to counter the threats posed by Chinese state-
sponsored propaganda and disinformation, including
information on best practices, current successes, and
existing barriers to responding to such threat; and
(D) details of any actions undertaken to create the
code of conduct described in subsection (b), including
a timetable for the implementation of such code of
conduct.
TITLE VIII--SANCTIONS MEASURES FOR CROSS-STRAIT STABILITY
SEC. 801. DEFINITIONS.
In this title:
(1) Admission; admitted; alien.--The terms ``admission'',
``admitted'', and ``alien'' have the meanings given such terms
in section 101 of the Immigration and Nationality Act (8 U.S.C.
1101).
(2) Appropriate committees of congress.--The term
``appropriate committees of Congress'' means--
(A) the Committee on Foreign Relations of the
Senate;
(B) the Committee on Banking, Housing, and Urban
Affairs of the Senate;
(C) the Committee on Foreign Affairs of the House
of Representatives; and
(D) the Committee on Financial Services of the
House of Representatives.
(3) CCP.--The term ``CCP'' means the Chinese Communist
Party.
(4) Financial institution.--The term ``financial
institution'' means a financial institution specified in
subparagraph (A), (B), (C), (D), (E), (F), (G), (H), (I), (J),
(M), or (Y) of section 5312(a)(2) of title 31, United States
Code.
(5) Foreign financial institution.--The term ``foreign
financial institution'' has the meaning given such term in
regulations prescribed by the Secretary of the Treasury.
(6) Foreign person.--The term ``foreign person'' means an
individual or entity that is not a United States person.
(7) Knowingly.--The term ``knowingly'', with respect to
conduct, a circumstance, or a result, means that a person had
actual knowledge, or should have known, of the conduct, the
circumstance, or the result.
(8) United states person.--The term ``United States
person'' means--
(A) a United States citizen or an alien lawfully
admitted for permanent residence to the United States;
or
(B) an entity organized under the laws of the
United States or of any jurisdiction within the United
States, including a foreign branch of such an entity.
SEC. 802. DETERMINATIONS WITH RESPECT TO ACTIVITIES OF THE PEOPLE'S
REPUBLIC OF CHINA IMPACTING TAIWAN.
(a) In General.--The President shall determine, in accordance with
subsection (b), whether--
(1) the Government of the People's Republic of China,
including through any of its proxies, is knowingly engaged in a
significant escalation in hostile action in or against Taiwan,
compared to the level of hostile action in or against Taiwan
before December 1, 2021; and
(2) if such engagement exists, whether such escalation has
the significant effect of--
(A) undermining, overthrowing, or dismantling the
governing institutions in Taiwan;
(B) occupying the territory of Taiwan; or
(C) interfering with the territorial integrity of
Taiwan.
(b) Timing of Determinations.--The President shall make the
determination described in subsection (a)--
(1) not later than 15 days after the date of the enactment
of this Act;
(2) after the first determination under paragraph (1), not
less frequently than once every 90 days (or more frequently, if
warranted) during the 1-year period beginning on such date of
enactment; and
(3) after the end of such 1-year period, not less
frequently than once every 120 days.
(c) Report Required.--Upon making a determination described in
subsection (a), the President shall submit a report describing the
factors influencing such determination to--
(1) the appropriate committees of Congress;
(2) the Committee on Armed Services of the Senate; and
(3) the Committee on Armed Services of the House of
Representatives.
SEC. 803. IMPOSITION OF SANCTIONS ON OFFICIALS OF THE GOVERNMENT OF THE
PEOPLE'S REPUBLIC OF CHINA RELATING TO OPERATIONS IN
TAIWAN.
(a) In General.--Not later than 60 days after making an affirmative
determination under section 802, the President shall, to the extent
they can be identified, impose the sanctions described in section 808
with respect to each of the officials specified in subsection (b).
(b) Officials Specified.--The officials specified in this
subsection are--
(1) the President of the People's Republic of China;
(2) the Premier of the People's Republic of China;
(3) the Foreign Minister of the People's Republic of China;
(4) members of the CCP Politburo Standing Committee;
(5) members of the CCP Party Central Military Commission;
(6) members of the CCP Politburo;
(7) members of the CCP Central Committee;
(8) members of the CCP National Congress;
(9) members of the State Council of the People's Republic
of China; and
(10) members of the State Central Military Commission of
the CCP.
(c) Additional Officials.--
(1) List required.--Not later than 30 days after making an
affirmative determination under section 802 and every 90 days
thereafter, the President shall submit a list to the
appropriate committees of Congress that identifies any foreign
persons not specified in subsection (b) who the President
determines--
(A) are--
(i) senior officials of any branch of the
armed forces of the People's Republic of China
leading any of the operations described in
section 802; or
(ii) senior officials of the Government of
the People's Republic of China, including any
intelligence agencies or security services of
the People's Republic of China, who have
significant roles in planning or implementing
such operations; and
(B) with respect to which sanctions should be
imposed in the interest of the national security of the
United States.
(2) Imposition of sanctions.--Upon the submission of each
list required under paragraph (1), the President shall impose
the sanctions described in section 808 with respect to each
foreign person included on the list.
SEC. 804. IMPOSITION OF SANCTIONS WITH RESPECT TO FINANCIAL
INSTITUTIONS OF THE PEOPLE'S REPUBLIC OF CHINA.
(a) Imposition of Sanctions.--
(1) In general.--Not later than 30 days after making an
affirmative determination under section 802, the President
shall impose the sanctions described in section 808(a) with
respect to 3 or more of the following financial institutions:
(A) Industrial and Commercial Bank of China (ICBC).
(B) China Construction Bank.
(C) Bank of China.
(D) Agricultural Bank of China.
(E) Bank of Communications.
(F) China Development Bank.
(G) Postal Savings Bank of China (PSBC).
(H) Industrial Bank Co., Ltd.
(I) China CITIC Bank Corporation.
(J) China Merchants Bank.
(K) Export-Import Bank of China.
(L) Shanghai Pudong Development Bank Co., Ltd.
(M) China Everbright Bank Co., Ltd.
(N) Hua Xia Bank.
(O) Ping An Bank Co., Ltd.
(2) Subsidiaries and successor entities.--The President may
impose the sanctions described in section 808(a) with respect
to any subsidiary of, or successor entity to, a financial
institution specified in paragraph (1).
(b) Additional People's Republic of China Financial Institutions.--
(1) List required.--Not later than 30 days after making an
affirmative determination under section 802, and every 90 days
thereafter, the President shall submit a list to the
appropriate committees of Congress that identifies any foreign
persons that the President determines--
(A) are significant financial institutions owned or
operated by the Government of the People's Republic of
China; and
(B) should be sanctioned in the interest of United
States national security.
(2) Imposition of sanctions.--Upon the submission of each
list required under paragraph (1), the President shall impose
the sanctions described in section 808(a) with respect to each
foreign person identified on the list.
SEC. 805. IMPOSITION OF SANCTIONS WITH RESPECT TO PROVISION OF
SPECIALIZED FINANCIAL MESSAGING SERVICES TO SANCTIONED
PEOPLE'S REPUBLIC OF CHINA FINANCIAL INSTITUTIONS.
(a) List of Providers of Specialized Financial Messaging Services
to PRC Financial Institutions.--Not later than 60 days after making an
affirmative determination under section 802, and not later than 30 days
after the submission of any list of People's Republic of China
financial institutions under section 804(b)(1), the Secretary of State,
in consultation with the Secretary of the Treasury, shall submit a list
to the appropriate committees of Congress that identifies all known
persons that provide specialized financial messaging services to, or
that enable or facilitate access to such services for, any financial
institution specified in section 804(a) or that is on the list required
under section 804(b).
(b) Report on Efforts To Terminate the Provision of Specialized
Financial Messaging Services for Sanctioned People's Republic of China
Financial Institutions.--Not later than 90 days after the imposition of
any sanctions authorized under section 804, and every 30 days
thereafter, as necessary, the Secretary of State, in consultation with
the Secretary of the Treasury, shall submit a report to the appropriate
committees of Congress that--
(1) describes the status of efforts to ensure that the
termination of the provision of specialized financial messaging
services to, and the enabling and facilitation of access to
such services for, any financial institution against which
sanctions are imposed pursuant to section 804; and
(2) identifies any other provider of specialized financial
messaging services that continues to provide messaging services
to, or enables or facilitates access to such services for, any
such financial institution.
(c) Authorization for the Imposition of Sanctions.--If, on or after
the date that is 90 days after the imposition of any sanctions
authorized under section 804, a provider of financial specialized
financial messaging services continues to knowingly provide specialized
financial messaging services to, or knowingly enable or facilitate
direct or indirect access to such messaging services for, any financial
institution with respect to which sanctions are imposed pursuant to
section 804, the President may impose sanctions pursuant to that
section or the International Emergency Economic Powers Act (50 U.S.C.
1701 et seq.) with respect to such provider.
(d) Enabling or Facilitation of Access to Specialized Financial
Messaging Services Through Intermediary Financial Institutions.--For
purposes of this section, enabling or facilitating direct or indirect
access to specialized financial messaging services includes doing so by
serving as an intermediary financial institution with access to such
messaging services.
(e) Form of Lists and Reports.--Each list required under subsection
(a) and each report required under subsection (b) shall be submitted in
unclassified form, but may include a classified annex.
SEC. 806. IMPOSITION OF SANCTIONS WITH RESPECT TO PEOPLE'S REPUBLIC OF
CHINA EXTRACTIVE INDUSTRIES.
(a) Identification.--Not later than 60 days after making an
affirmative determination under section 802, the President shall
identify foreign persons involved in any of the sectors or industries
described in subsection (b) that the President determines should be
sanctioned in the interest of United States national security.
(b) Sectors and Industries Described.--The sectors and industries
described in this subsection are--
(1) oil and gas extraction and production;
(2) coal extraction, mining, and production;
(3) minerals extraction and processing; and
(4) any other sector or industry with respect to which the
President determines the imposition of sanctions is in the
United States national security interest.
(c) List; Imposition of Sanctions.--Not later than 90 days after
making an affirmative determination under section 802, the President
shall--
(1) submit a list of the persons identified under
subsection (a) to the appropriate committees of Congress; and
(2) impose the sanctions described in section 808 with
respect to each such person.
SEC. 807. ADDITIONAL SANCTIONS.
(a) In General.--Beginning on the date that is 90 days after the
date of the enactment of this Act, the President shall impose the
sanctions described in section 808 on any foreign person that the
President determines, while acting for or on behalf of the Government
of the People's Republic of China, knowingly--
(1) ordered or engaged directly in activities interfering
significantly in a democratic process in Taiwan; or
(2) with the objective of destabilizing Taiwan, engaged
directly in, or ordered--
(A) malicious cyber-enabled activities; or
(B) any military exercise that crossed that
``middle line'' in the Taiwan Strait.
(b) Waiver.--The President may waive the application of sanctions
under this section if the President submits to the appropriate
committees of Congress a written determination that such waiver is in
the national interests of the United States.
SEC. 808. SANCTIONS DESCRIBED.
(a) Property Blocking.--Except as provided in section 810, the
President shall exercise all of the powers granted by the International
Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) to the extent
necessary to block and prohibit all transactions in all property and
interests in property of the foreign person if such property and
interests in property are in the United States, come within the United
States, or are or come within the possession or control of a United
States person.
(b) Aliens Inadmissible for Visas, Admission, or Parole.--
(1) Visas, admission, or parole.--In the case of an alien,
the alien is--
(A) inadmissible to the United States;
(B) ineligible to receive a visa or other
documentation to enter the United States; and
(C) otherwise ineligible to be admitted or paroled
into the United States or to receive any other benefit
under the Immigration and Nationality Act (8 U.S.C.
1101 et seq.).
(2) Current visas revoked.--
(A) In general.--The visa or other entry
documentation of an alien described in paragraph (1)
shall be revoked, regardless of when such visa or other
entry documentation was issued.
(B) Immediate effect.--A revocation under
subparagraph (A) shall--
(i) take effect immediately; and
(ii) automatically cancel any other valid
visa or entry documentation that is in the
alien's possession.
SEC. 809. IMPLEMENTATION; REGULATIONS; PENALTIES.
(a) Implementation.--The President may exercise all authorities
provided to the President under sections 203 and 205 of the
International Emergency Economic Powers Act (50 U.S.C. 1702 and 1704)
to carry out this title.
(b) Rulemaking.--The President shall issue such regulations,
licenses, and orders as are necessary to carry out this title.
(c) Penalties.--Any person that violates, attempts to violate,
conspires to violate, or causes a violation of this title, or any
regulation, license, or order issued to carry out this title, shall be
subject to the penalties set forth in subsections (b) and (c) of
section 206 of the International Emergency Economic Powers Act (50
U.S.C. 1705) to the same extent as a person that commits an unlawful
act described in subsection (a) of that section.
SEC. 810. EXCEPTIONS; WAIVER.
(a) Exceptions.--
(1) Exception for intelligence activities.--This title
shall not apply with respect to--
(A) activities subject to the reporting
requirements under title V of the National Security Act
of 1947 (50 U.S.C. 3091 et seq.); or
(B) authorized intelligence activities of the
United States.
(2) Exception for compliance with international obligations
and law enforcement activities.--Sanctions under this title
shall not apply with respect to an alien if admitting or
paroling such alien into the United States is necessary--
(A) to permit the United States to comply with the
Agreement regarding the Headquarters of the United
Nations, signed at Lake Success on June 26, 1947, and
entered into force November 21, 1947, between the
United Nations and the United States, or other
applicable international obligations of the United
States; or
(B) to carry out or assist law enforcement activity
in the United States.
(3) Exception relating to importation of goods.--
(A) Defined term.--In this paragraph, the term
``good'' means any article, natural or manmade
substance, material, supply, or manufactured product,
including inspection and test equipment, and excluding
technical data.
(B) In general.--Notwithstanding any other
provision of this title, the authority or a requirement
to impose sanctions under this title shall not include
the authority or a requirement to impose sanctions on
the importation of goods.
(b) National Security Waiver.--The President may waive the
imposition of sanctions based on a determination under section 802 with
respect to a person if the President--
(1) determines that such a waiver is in the national
security interests of the United States; and
(2) submits a notification of the waiver and the reasons
for the waiver to the appropriate committees of Congress.
SEC. 811. TERMINATION.
The President may terminate the sanctions imposed under this title
based on a determination under section 802, after determining and
certifying to the appropriate committees of Congress that the
Government of the People's Republic of China--
(1) has verifiably ceased the activities described in
section 802(a) with respect to operations against Taiwan; and
(2) to the extent applicable, has entered into an agreed
settlement with a legitimate democratic Government of Taiwan.
TITLE IX--RULE OF CONSTRUCTION
SEC. 901. RULE OF CONSTRUCTION.
Nothing in this Act may be construed--
(1) to restore diplomatic relations with the Republic of
China; or
(2) to alter the United States Government's position with
respect to the international status of the Republic of China.
<all>