[Congressional Record Volume 169, Number 128 (Tuesday, July 25, 2023)]
[House]
[Pages H3915-H3916]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




             U.S. SUPPLY CHAIN SECURITY REVIEW ACT OF 2023

  Mr. JAMES. Mr. Speaker, I move to suspend the rules and pass the bill 
(H.R. 3395) to direct the Chairman of the Federal Maritime Commission 
to seek to enter into an agreement with a federally funded research and 
development center to evaluate foreign ownership of marine terminals at 
the 15 largest United States container ports, and for other purposes, 
as amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 3395

       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 ``U.S. Supply Chain Security 
     Review Act of 2023''.

     SEC. 2. STUDY ON FOREIGN PORTS.

       (a) In General.--Not later than 90 days after the date of 
     enactment of this Act, the Chairman of the Federal Maritime 
     Commission shall seek to enter into an agreement with a 
     federally funded research and development center to evaluate 
     how foreign ownership of marine terminals at the 15 largest 
     United States container ports affects or could affect United 
     States economic security.
       (b) Contents.--In carrying out the study under subsection 
     (a), the center selected under such subsection shall--
       (1) consider--
       (A) changes in ownership of the 15 largest United States 
     container ports over the past 10 years as well as announced 
     ownership changes from 2023 and 2024;
       (B) instances of ownership in individual marine terminals 
     and cumulative ownership by Chinese or Russian entities or 
     nationals;
       (C) instances of ownership in individual marine terminals 
     and cumulative ownership by any foreign entity;
       (D) the amount of--
       (i) Port Infrastructure Development Grant funds since 
     fiscal year 2018 that have gone to ports and marine terminals 
     that are owned wholly or partially foreign owned; and
       (ii) Port Security Grant funds since fiscal year 2003 that 
     have gone to ports and marine terminals that are owned wholly 
     or partially foreign owned; and
       (E) where ownership exists, a detailed description of 
     foreign operational control including both affirmative and 
     negative control; and
       (2) offer recommendations on--
       (A) policies by ports and marine terminal operators to 
     prevent excessive foreign ownership that could threaten 
     United States economic security;
       (B) whether ownership affords the foreign owner access to 
     operational technology and information unique to the United 
     States and otherwise unavailable; and
       (C) whether foreign ownership has or could affect the 
     supply chain and policies related to the prioritization of 
     certain cargoes.
       (c) Report.--Not later than 1 year after the initiation of 
     the evaluation under subsection (a), the Chairman of the 
     Federal Maritime Commission shall submit to the Committee on 
     Commerce, Science, and Transportation of the Senate and the 
     Committee on Transportation and Infrastructure of the House 
     of Representatives the results of such evaluation.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Michigan (Mr. James) and the gentleman from Massachusetts (Mr. 
Auchincloss) each will control 20 minutes.
  The Chair recognizes the gentleman from Michigan.


                             General Leave

  Mr. JAMES. Mr. Speaker, I ask unanimous consent that Members have 5 
legislative days in which to revise and extend their remarks and insert 
extraneous material in the Record on H.R. 3395, as amended.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Michigan?
  There was no objection.
  Mr. JAMES. Mr. Speaker, I yield myself such time as I may consume.
  H.R. 3395, as amended, requires a study on the implication of foreign 
ownership of marine terminals at United States container ports.

[[Page H3916]]

  Not only will the study examine the nationality of the firms owning 
marine terminals at 15 of the largest United States ports, but it will 
also specifically focus on whether ownership is held by entities or 
nationals of countries adversarial to our Nation, including 
affiliations with China or Russia.
  Further, the study will assess whether Port Infrastructure 
Development Grant and Port Security Grant funds have been awarded to 
ports that are wholly or partially foreign-owned.
  These findings will help the Committee on Transportation and 
Infrastructure hold the administration accountable for how Federal 
funds are allocated and inform the committee's work on the efficient 
movement of goods through the supply chain.
  I thank the gentleman from Massachusetts (Mr. Auchincloss) for 
introducing this bill.
  As a supply chain logistics professional in my prior life, I 
understand how critical this is to our Nation's infrastructure and to 
our economic prosperity moving forward in the future.
  Mr. Speaker, I urge support of this legislation, and I reserve the 
balance of my time.
  Mr. AUCHINCLOSS. Mr. Speaker, I yield myself such time as I may 
consume.
  Today, I rise in support of my bill, H.R. 3395, the U.S. Supply Chain 
Security Review Act. I thank Coast Guard and Maritime Transformation 
Committee Chair Webster for his support on this legislation.
  Securing our maritime supply chain is critically important to 
American consumers and to our economic resilience. COVID-19, Russia's 
war of aggression in Ukraine, and the increasing economic and security 
challenges from the Chinese Communist Party emphasize the need for the 
United States to better understand the influence, incentives, and 
dependencies at critical nodes in our supply chains, especially our 
ports.
  The U.S. Supply Chain Security Review Act would direct the Federal 
Maritime Commission to work with an independent academic or federally 
funded research center to evaluate the ownership of marine terminals at 
the 15 largest U.S. container ports.
  This study will consider the changes in ownership of marine terminals 
in these ports over the last 10 years, as well as any announced 
ownership changes anticipated in 2023 or 2024, with a specific focus on 
ownership by Chinese or Russian entities. These ports are critical to 
our economic and national security, and it is imperative that we have a 
real-time understanding of who is in charge.
  The study will also examine the amount of Federal grant funds that 
have gone to ports and marine terminals wholly or partially owned by 
foreign entities and a detailed analysis on the foreign operational 
control of these marine terminals.
  Lastly, the study will offer recommendations on policies to prevent 
malign foreign ownership of ports and terminal operators, whether 
ownership of the port gives the foreign entity unique access to 
operational technology and information, or if foreign ownership of the 
entity could have an impact on our supply chains.
  Understanding how our supply chains are and will be impacted by 
foreign ownership of marine terminals is a key aspect of our economic 
competition and will help the United States develop supply chains that 
are resilient against adversaries.
  This bipartisan legislation passed unanimously out of the 
Transportation and Infrastructure Committee, and I thank Chair Graves 
and Ranking Member Larsen for their leadership and support on this 
important issue.
  I urge my colleagues to support this legislation so we can begin to 
address this critical issue and ensure the security of our maritime 
supply chains.
  Mr. Speaker, I reserve the balance of my time.
  Mr. JAMES. Mr. Speaker, I have no more speakers. I am prepared to 
close. I reserve the balance of my time.
  Mr. AUCHINCLOSS. Mr. Speaker, I urge my colleagues to support H.R. 
3395, and I yield back the balance of my time.
  Mr. JAMES. Mr. Speaker, I yield myself the balance of my time.
  The report directed by this bill will help inform the committee's 
work and protect our ports and supply chains against foreign 
adversaries.
  As we have seen these past few years, disruptions in the supply chain 
have a widespread impact across our Nation. We should take the 
necessary steps to understand the potential vulnerabilities in our 
supply chain and work to address them.
  Mr. Speaker, I again, thank the sponsor of this bill for his work, 
and I urge support. I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Michigan (Mr. James) that the House suspend the rules 
and pass the bill, H.R. 3395, 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. JAMES. Mr. Speaker, I object to the vote on the ground that a 
quorum is not present and make the point of order that a quorum is not 
present.
  The SPEAKER pro tempore. Pursuant to clause 8 of rule XX, further 
proceedings on this question will be postponed.
  The point of no quorum is considered withdrawn.

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