[Congressional Record Volume 168, Number 150 (Monday, September 19, 2022)]
[House]
[Pages H7902-H7904]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




           COUNTERING UNTRUSTED TELECOMMUNICATIONS ABROAD ACT

  Mr. MALINOWSKI. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 8520) to establish certain reporting and other requirements 
relating to telecommunications equipment and services produced or 
provided by certain entities, and for other purposes, as amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 8520

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Countering Untrusted 
     Telecommunications Abroad Act''.

     SEC. 2. SENSE OF CONGRESS.

       It is the sense of Congress that--
       (1) the national security of the United States is affected 
     by the telecommunications security of United States allies, 
     partners, and other countries around the globe;
       (2) the importance of mobile and internet services makes 
     such services tempting and effective tools for malign 
     influence and economic coercion;
       (3) Huawei Technologies Company and ZTE Corporation (and 
     any subsidiary or affiliate of either such entity) should not 
     serve as a vendor of telecommunications equipment or services 
     given the close ties to, and control over, such entities by 
     the People's Republic of China; and
       (4) it is in the economic and national security interests 
     of the United States to ensure that countries around the 
     globe use trusted telecommunications equipment or services.

     SEC. 3. REPORT ON UNTRUSTED TELECOMMUNICATIONS EQUIPMENT OR 
                   SERVICES IN COUNTRIES WITH COLLECTIVE DEFENSE 
                   AGREEMENT WITH UNITED STATES.

       (a) Report.--Not later than 180 days after the date of the 
     enactment of this Act, and annually thereafter for two years, 
     the Secretary of State, in consultation with the Assistant 
     Secretary of Commerce for Communications and Information, 
     shall submit to the Committees on Foreign Affairs and Energy 
     and Commerce of the House of Representatives and the 
     Committees on Foreign

[[Page H7903]]

     Relations and Commerce, Science, and Transportation of the 
     Senate a report on the prevalence of untrusted 
     telecommunications equipment or services in the networks of 
     United States allies and partners.
       (b) Matters.--The report under subsection (a) shall 
     enumerate each United States ally or partner with respect to 
     which the United States has entered into a collective defense 
     agreement and include, for each such country, the following:
       (1) A description of the presence, or lack thereof, of 
     untrusted telecommunications equipment or services in any 5G 
     network of the country.
       (2) If any untrusted telecommunications equipment or 
     service is present in such a network--
       (A) an enumeration of any mobile carriers that are using 
     the untrusted telecommunications equipment or service 
     present, and any mobile carriers that are not;
       (B) a determination of whether the untrusted 
     telecommunications equipment or service present is in the 
     core or periphery of the network; and
       (C) any plans by the United States ally or partner, or the 
     individual mobile carrier, to rip and replace the untrusted 
     telecommunications equipment or service present with a 
     trusted telecommunications equipment or service.
       (3) A description of any plans by network operators to use 
     untrusted communications equipment or services in the 
     deployment of Open Radio Access Network (Open RAN) 
     technology, or any successor to such technology, or in future 
     6G networks.

     SEC. 4. REPORT ON COVERED TELECOMMUNICATIONS EQUIPMENT OR 
                   SERVICES IN UNITED STATES EMBASSIES.

       (a) Findings.--Congress finds the following:
       (1) The Comptroller General of the United States has 
     reported that 23 percent of all telecommunications device 
     manufacturers of the Department of State have at least one 
     supplier reported to be headquartered in the People's 
     Republic of China or the Russian Federation.
       (2) The Comptroller General has reported that four percent 
     of all telecommunications contractors of the Department of 
     State have at least one supplier reported to be headquartered 
     in the People's Republic of China.
       (b) Report.--
       (1) In general.--Not later than 180 days after the date of 
     the enactment of this Act, the Secretary of State, in 
     consultation with the heads of such other departments and 
     agencies as the Secretary determines necessary, shall submit 
     to the Committee on Foreign Affairs of the House of 
     Representatives and the Committee on Foreign Relations of the 
     Senate a report containing an assessment of the use of 
     covered telecommunications equipment or services in United 
     States embassies and by United States embassy staff and 
     personnel.
       (2) Matters.--The report under paragraph (1) shall include 
     information on the following:
       (A) The status of the implementation by the Secretary of 
     State of the prohibition under subsection (a)(1) of section 
     889 of the John S. McCain National Defense Authorization Act 
     for Fiscal Year 2019 (Public Law 115-232; 132 Stat. 1917; 41 
     U.S.C. 3901 note prec.) with respect to equipment, systems, 
     and services used at United States embassies, including--
       (i) an identification of the United States embassies with 
     respect to which the Secretary has implemented such 
     prohibition, and an identification of those with respect to 
     which the Secretary has not implemented such prohibition, if 
     any;
       (ii) an identification of any difficulties that have 
     delayed the implementation of such prohibition by the 
     Secretary with respect to United States embassies, such as 
     visibility into supply chains, costs of equipment 
     replacement, and plans for timely remediation;
       (iii) information on any waivers that have been granted to 
     an entity under subsection (d) of such section 889 for 
     equipment, systems, or services used at United States 
     embassies, including a justification of why each waiver was 
     granted and any other information required pursuant to 
     paragraph (1)(B) of such subsection; and
       (iv) for any entity that has sought a waiver specified in 
     clause (iii), the implementation status of the phase-out plan 
     of the entity submitted by the entity pursuant to subsection 
     (d) of such section 889.
       (B) Information regarding the extent to which the digital 
     devices of United States embassy staff and personnel are 
     serviced by Huawei Technologies Company or ZTE Corporation 
     (or any subsidiary or affiliate of either such entity), or 
     any other entity headquartered in the People's Republic of 
     China, and an assessment of the likelihood of the 
     intelligence services of the People's Republic of China 
     gaining access to the contents and data of the digital 
     devices used by United States embassy personnel as a result 
     of any such servicing.
       (C) Any other information regarding ongoing efforts to 
     safeguard the communications security of United States 
     embassies.
       (3) Form.--The report under paragraph (1) shall be 
     submitted in unclassified form, but may include a classified 
     annex.

     SEC. 5. SUPPORTING TRUSTED TELECOMMUNICATIONS.

       (a) In General.--The Secretary of State, in consultation 
     with the Assistant Secretary of Commerce for Communications 
     and Information, shall select for the provision of support 
     under this section telecommunications infrastructure projects 
     that have the potential, as determined by the Secretary, to 
     promote the national security of the United States and meet 
     such other requirements as the Secretary may prescribe.
       (b) Diplomatic and Political Support.--The Secretary of 
     State shall provide to each project selected under subsection 
     (a), as appropriate, diplomatic and political support, 
     including by using the diplomatic and political influence and 
     expertise of the Department of State to build the capacity of 
     countries to resolve any impediments to the development of 
     the project.
       (c) Early Stage Project Support.--The Director of the 
     United States Trade and Development Agency should provide, as 
     appropriate, early-stage project support with respect to 
     projects selected under subsection (a).

     SEC. 6. DISCLOSURE AND TRANSPARENCY OF UNTRUSTED 
                   COMMUNICATIONS EQUIPMENT.

       (a) In General.--Section 13 of the Securities Exchange Act 
     of 1934 (15 U.S.C. 78m) is amended by adding at the end the 
     following new subsection:
       ``(s) Disclosure of Certain Activities Related to Untrusted 
     Telecommunications Equipment.--
       ``(1) In general.--Each issuer required to file an annual 
     or quarterly report under subsection (a) shall disclose in 
     that report the information required in paragraph (2) if, 
     during the period covered by the report, the issuer or any 
     affiliate of the issuer used or contracted to use covered 
     telecommunications equipment or services.
       ``(2) Information required.--If an issuer or affiliate of 
     the issuer has engaged in an activity described in paragraph 
     (1), the issuer shall disclose such activity, including a 
     detailed description of--
       ``(A) whether the covered telecommunications equipment or 
     services are being used in a mobile network run by the 
     issuer, and whether those equipment or services were used in 
     the core or periphery of the network;
       ``(B) whether the covered telecommunications equipment or 
     services were used for cloud computing or data storage;
       ``(C) whether any covered telecommunications equipment or 
     services were replaced with other vendors; and
       ``(D) whether the issuer is currently engaging in 
     negotiations or planning to contract to use additional 
     covered telecommunications equipment or services.
       ``(3) Notice of disclosures.--If an issuer reports under 
     paragraph (1) that the issuer or an affiliate of the issuer 
     has knowingly engaged in any activity described in that 
     paragraph, the issuer shall separately file with the 
     Commission, concurrently with the annual or quarterly report 
     under subsection (a), a notice that the disclosure of that 
     activity has been included in that annual or quarterly report 
     that identifies the issuer and contains the information 
     required by paragraph (2).
       ``(4) Public disclosure of information.--Upon receiving a 
     notice under paragraph (3) that an annual or quarterly report 
     includes a disclosure of an activity described in paragraph 
     (1), the Commission shall promptly--
       ``(A) transmit the report to--
       ``(i) the President;
       ``(ii) the Committees on Foreign Affairs, Energy and 
     Commerce, and Financial Services of the House of 
     Representatives; and
       ``(iii) the Committees on Foreign Relations, Commerce, 
     Science, and Transportation, and Banking, Housing, and Urban 
     Affairs of the Senate; and
       ``(B) make the information provided in the disclosure and 
     the notice available to the public by posting the information 
     on the Internet website of the Commission.
       ``(5) Covered telecommunications equipment or service 
     defined.--In this subsection, the term `covered 
     telecommunications equipment or service' has the meaning 
     given to the term `covered communications equipment or 
     service' in section 9 of the Secure and Trusted 
     Communications Network Act of 2019 (47 U.S.C. 1608).''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect with respect to reports required to be 
     filed with the Securities and Exchange Commission after the 
     date that is 180 days after the date of the enactment of this 
     Act.

     SEC. 7. DEFINITIONS.

       In this Act:
       (1) Covered telecommunications equipment or service; 
     untrusted telecommunications equipment or service.--The terms 
     ``covered telecommunications equipment or service'' and 
     ``untrusted telecommunications equipment or service'' have 
     the meaning given to the term ``covered communications 
     equipment or service'' in section 9 of the Secure and Trusted 
     Communications Network Act of 2019 (47 U.S.C. 1608).
       (2) Trusted telecommunications equipment or service.--The 
     term ``trusted telecommunications equipment or service'' 
     means any telecommunications equipment or service that is not 
     a covered telecommunications equipment or service.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from New 
Jersey (Mr. Malinowski) and the gentleman from New Jersey (Mr. Smith) 
each will control 20 minutes.
  The Chair recognizes the gentleman from New Jersey (Mr. Malinowski).

[[Page H7904]]

  



                             General Leave

  Mr. MALINOWSKI. Mr. Speaker, I ask unanimous consent that all Members 
have 5 legislative days in which to revise and extend their remarks and 
include extraneous material on H.R. 8520.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from New Jersey?
  There was no objection.
  Mr. MALINOWSKI. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, I rise today in support of H.R. 8520, the Countering 
Untrusted Telecommunications Act.
  Imagine the following: A senior official for a NATO ally of the 
United States transmits a vital national security matter to his 
country's embassy here in Washington, but before the call even reaches 
the embassy, it is intercepted by Chinese spyware, which transmits the 
call to Beijing. Before our officials even hear the top-secret message, 
CCP officials have captured and recorded the information.
  Threats like this are very real and on the rise. Even here in the 
United States, intelligence and defense officials are concerned that 
telecommunications equipment made by the company Huawei could capture 
communications about our nuclear arsenal.
  Around the world, the problem is worse. Many of our partners and 
allies have all of their major cell phone networks backed by unsafe 
equipment giving the PRC and its friends backdoor access to our private 
communications. Many countries, replete with this unsafe equipment, 
have mutual defense treaties with the United States.
  The Countering Untrusted Telecommunications Act would be a crucial 
tool to address these security issues.
  First, it would require the State Department to ensure that the 
Department itself is not relying on unsafe equipment at our embassies 
around the world.
  Second, it would require a comprehensive report on the 
telecommunications security of all countries with which the United 
States has a mutual defense treaty.
  Third, it authorizes our State Department to provide diplomatic 
support for telecommunications projects and pushes our United States 
Trade and Development Agency to finance important projects in this 
area.
  Finally, it requires mobile network operators listed on American 
stock exchanges to disclose whether they have Huawei, ZTE, or other 
unsafe equipment in their networks. Currently, many network operators 
fail to disclose this information despite existing sanctions against 
Huawei. This provision would be beneficial for our national security 
but also crucial for investors and shareholders in these companies.
  I thank Representatives Wild and Wagner for their important work on 
this bill, and I urge all of my colleagues to join me in supporting 
this legislation.
  Mr. Speaker, I reserve the balance of my time.
  Mr. SMITH of New Jersey. Mr. Speaker, I rise in support of this bill, 
and I yield myself such time as I may consume.
  Mr. Speaker, the Countering Untrusted Telecommunications Abroad Act 
requires the State Department to conduct a report on the presence and 
risks posed by any Chinese telecommunications vendor like Huawei or ZTE 
in the networks of defense-allied countries.
  It also requires the General Accountability Office, or GAO, to report 
on Chinese and Russian telecom suppliers serving U.S. embassies 
overseas.
  Finally, it tasks the State Department with identifying telecom 
infrastructure projects that will strengthen U.S. national security, 
and with helping countries currently being serviced by Chinese vendors 
to build capacity for replacing those vendors.
  I would hope by now that most U.S. officials understand the threats 
to U.S. national security posed by tech companies controlled by the 
Chinese Communist Party, like Huawei. But we must also ensure that our 
allies and partners are not duped by the seemingly low cost of telecom 
services provided by state-backed countries. While seemingly cheap, the 
real cost lies in giving the CCP control over all of your 
telecommunications data, which they will use to spread their malign 
influence globally.
  So I support the bill strongly, and I yield back the balance of my 
time.
  Mr. MALINOWSKI. Mr. Speaker, I am prepared to close, and I yield 
myself the balance of my time.
  Mr. Speaker, H.R. 8520, the Countering Untrusted Telecommunications 
Act is an important initiative in finding and addressing American 
vulnerabilities to cyber spying and espionage, particularly in our 
communications with partners and allies whose unsecure networks may 
provide backdoor access to these increasing threats.

  I, once again, thank Representatives Wild and Wagner for their 
tremendous work in advancing this bill and their commitment to 
protecting our national security from cyber and security threats. I 
hope my colleagues will join us in supporting this bill.
  Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from New Jersey (Mr. Malinowski) that the House suspend the 
rules and pass the bill, H.R. 8520, as amended.
  The question was taken.
  The SPEAKER pro tempore. In the opinion of the Chair, two-thirds 
being in the affirmative, the ayes have it.
  Mr. ROSENDALE. Mr. Speaker, on that I demand the yeas and nays.
  The yeas and nays were ordered.
  The SPEAKER pro tempore. Pursuant to clause 8 of rule XX, further 
proceedings on this motion will be postponed.

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