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Congress·In Committee·S. 1053

Sen. Cornyn and Schumer Push Bipartisan Bill to Block U.S. Investment in Chinese Military Tech

FIGHT China Act of 2025

about 1 year ago·View on Congress.gov·Read full text

Legislative Progress

Senate
House
President
Law

Key Points

  • The bill would let the government ban Americans from investing in Chinese companies working on advanced military-related technologies, including high-end semiconductors, AI, quantum computing, and hypersonic missiles. Violations could result in civil penalties up to $250,000 or twice the transaction value.

    From policy text

    “The Secretary may prohibit, in accordance with regulations issued under subsection (e), a United States person from knowingly engaging in a covered national security transaction in a prohibited technology.”
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  • For less sensitive but still concerning technologies — called 'notifiable technologies' — Americans would be required to report their investment transactions to the Treasury Department within 30 days of completing a deal.
  • People who currently own stocks in Chinese companies on the military-industrial complex list would have one year after enactment to sell them. After that deadline, holding those securities would be illegal for any American.
  • The government could freeze the assets of Chinese individuals and companies involved in defense or surveillance technology, using existing emergency economic powers to block all their U.S. property and transactions.

    From policy text

    “block and prohibit all transactions in property and interests in property of a foreign person that is determined to be a covered foreign person pursuant to subsection (a) 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.”
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  • The bill allocates $150 million over two years for the Treasury and Commerce Departments to enforce the new rules, hire staff, and help businesses understand how to comply.

    From policy text

    “There is authorized to be appropriated $150,000,000 to the Department of the Treasury, out of which amounts may be transferred to the Department of Commerce to jointly conduct outreach to industry and persons affected by this Act, for each of the first two fiscal years beginning on or after the date of the enactment of this Act”
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  • The bill has strong bipartisan support, introduced by 14 senators from both parties including Cornyn, Schumer, Warren, and Scott. It would remain in effect until China is removed from the official 'foreign adversaries' list.

    From policy text

    “This Act shall cease to have any force or effect on the date on which the Secretary of Commerce revises section 791.4 of title 15, Code of Federal Regulations, to remove the People's Republic of China from the list of foreign adversaries contained in such section.”
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Impact Analysis

Personal Impact

Scores: 1 = low, 5 = highSentiment: -5 to +5 (net benefit)

Milestones

2 milestones2 actions
Mar 13, 2025Senate

Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. (Sponsor introductory remarks on measure: CR S1746-1747)

Mar 13, 2025

Introduced in Senate

What Happens Next

Projected impacts based on AI analysis

365 days after enactment

One-year deadline for Americans to sell stocks in Chinese military-linked companies

Anyone holding securities in companies on the Non-SDN Chinese Military-Industrial Complex Companies List must divest within 365 days of enactment or face penalties. After this deadline, holding those investments becomes illegal.

450 days after enactment

Treasury issues regulations requiring investment notifications

Within 450 days of enactment, the Treasury Department must finalize rules requiring Americans to report covered investment transactions in Chinese tech companies within 30 days of closing a deal.

180 days after enactment

Multilateral coordination strategy due

Within 180 days of enactment, the Treasury Department must develop a strategy for working with U.S. allies to adopt similar investment restrictions on China, expanding the reach of the policy globally.

Related Bills

1 bill
H.R. 2246Related bill

Foreign Investment Guardrails to Help Thwart (FIGHT) China Act

Mar 21 — Referred to the Committee on Foreign Affairs, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Source Information

Document Type

Congressional Bill

Official Title

FIGHT China Act of 2025

Bill NumberS 1053
Congress119th Congress
ChamberSenate
Latest ActionRead twice and referred to the Committee on Banking, Housing, and Urban Affairs. (Sponsor introductory remarks on measure: CR S1746-1747)
Read Full Bill Text

Sponsor

Cosponsors

(13)
D: 7R: 6

Analysis generated by AI. Always verify with official sources.