1 | 1 | | I |
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2 | 2 | | 119THCONGRESS |
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3 | 3 | | 1 |
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4 | 4 | | STSESSION H. R. 1795 |
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5 | 5 | | To impose sanctions with respect to foreign telecommunications companies |
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6 | 6 | | engaged in economic or industrial espionage against United States per- |
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7 | 7 | | sons, and for other purposes. |
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8 | 8 | | IN THE HOUSE OF REPRESENTATIVES |
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9 | 9 | | MARCH3, 2025 |
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10 | 10 | | Ms. H |
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11 | 11 | | OULAHAN(for herself and Mr. STRONG) introduced the following bill; |
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12 | 12 | | which was referred to the Committee on Foreign Affairs |
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13 | 13 | | A BILL |
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14 | 14 | | To impose sanctions with respect to foreign telecommuni- |
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15 | 15 | | cations companies engaged in economic or industrial espi- |
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16 | 16 | | onage against United States persons, and for other pur- |
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17 | 17 | | poses. |
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18 | 18 | | Be it enacted by the Senate and House of Representa-1 |
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19 | 19 | | tives of the United States of America in Congress assembled, 2 |
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20 | 20 | | SECTION 1. SHORT TITLE. 3 |
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21 | 21 | | This Act may be cited as the ‘‘Neutralizing Emerging 4 |
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22 | 22 | | Threats from Wireless OEMs Receiving direction from 5 |
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23 | 23 | | Kleptocracies and Surveillance states Act’’ or the ‘‘NET-6 |
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24 | 24 | | WORKS Act’’. 7 |
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27 | 27 | | •HR 1795 IH |
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28 | 28 | | SEC. 2. SENSE OF CONGRESS. 1 |
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29 | 29 | | It is the sense of Congress that— 2 |
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30 | 30 | | (1) secure telecommunications networks, both 3 |
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31 | 31 | | domestically and within partner and allied nations, 4 |
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32 | 32 | | are important to the national security of the United 5 |
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33 | 33 | | States; 6 |
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34 | 34 | | (2) the risks posed by untrusted telecommuni-7 |
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35 | 35 | | cations vendors, particularly those based in the Peo-8 |
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36 | 36 | | ple’s Republic of China, to communications, data se-9 |
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37 | 37 | | curity, and the viability of networks outweigh any 10 |
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38 | 38 | | potential benefits; and 11 |
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39 | 39 | | (3) the United States Government should use 12 |
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40 | 40 | | the tools of economic statecraft to promote secure 13 |
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41 | 41 | | telecommunications networks. 14 |
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42 | 42 | | SEC. 3. IMPOSITION OF SANCTIONS WITH RESPECT TO ECO-15 |
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43 | 43 | | NOMIC OR INDUSTRIAL ESPIONAGE BY FOR-16 |
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44 | 44 | | EIGN TELECOMMUNICATIONS COMPANIES. 17 |
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45 | 45 | | (a) I |
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46 | 46 | | NGENERAL.—On and after the date that is 90 18 |
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47 | 47 | | days after the date of the enactment of this Act, the Presi-19 |
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48 | 48 | | dent shall exercise all of the powers granted to the Presi-20 |
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49 | 49 | | dent under the International Emergency Economic Powers 21 |
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50 | 50 | | Act (50 U.S.C. 1701 et seq.) to the extent necessary to 22 |
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51 | 51 | | block and prohibit all significant transactions in property 23 |
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52 | 52 | | and interests in property of a foreign person described in 24 |
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53 | 53 | | subsection (b) if such property and interests in property 25 |
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54 | 54 | | are in the United States, come within the United States, 26 |
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57 | 57 | | •HR 1795 IH |
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58 | 58 | | or are or come within the possession or control of a United 1 |
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59 | 59 | | States person. 2 |
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60 | 60 | | (b) F |
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61 | 61 | | OREIGNPERSONSDESCRIBED.—A foreign per-3 |
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62 | 62 | | son is described in this subsection if the President deter-4 |
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63 | 63 | | mines that the person, on or after the date of the enact-5 |
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64 | 64 | | ment of this Act— 6 |
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65 | 65 | | (1) produces fifth or future generation tele-7 |
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66 | 66 | | communications technology; and 8 |
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67 | 67 | | (2) conducts business relating to such tele-9 |
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68 | 68 | | communications technology in a manner contrary to 10 |
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69 | 69 | | the United States’ national security interests. 11 |
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70 | 70 | | (c) E |
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71 | 71 | | XCEPTIONS.— 12 |
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72 | 72 | | (1) E |
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73 | 73 | | XCEPTION FOR INTELLIGENCE ACTIVI -13 |
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74 | 74 | | TIES.—Sanctions under this section shall not apply 14 |
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75 | 75 | | to any activity subject to the reporting requirements 15 |
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76 | 76 | | under title V of the National Security Act of 1947 16 |
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77 | 77 | | (50 U.S.C. 3091 et seq.) or any authorized intel-17 |
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78 | 78 | | ligence activities of the United States. 18 |
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79 | 79 | | (2) E |
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80 | 80 | | XCEPTION RELATING TO THE PROVISION 19 |
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81 | 81 | | OF HUMANITARIAN ASSISTANCE .—Sanctions under 20 |
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82 | 82 | | this section may not be imposed with respect to 21 |
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83 | 83 | | transactions or the facilitation of transactions for— 22 |
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84 | 84 | | (A) the sale of agricultural commodities, 23 |
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85 | 85 | | food, medicine, or medical devices; 24 |
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89 | 89 | | (B) the provision of humanitarian assist-1 |
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90 | 90 | | ance; 2 |
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91 | 91 | | (C) financial transactions relating to hu-3 |
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92 | 92 | | manitarian assistance; or 4 |
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93 | 93 | | (D) transporting goods or services that are 5 |
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94 | 94 | | necessary to carry out operations relating to 6 |
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95 | 95 | | humanitarian assistance. 7 |
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96 | 96 | | (d) W |
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97 | 97 | | AIVER.—The President may waive the applica-8 |
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98 | 98 | | tion of sanctions under this section with respect to a for-9 |
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99 | 99 | | eign person for renewable periods of not more than 90 10 |
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100 | 100 | | days each if the President determines and reports to Con-11 |
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101 | 101 | | gress that such a waiver is vital to the national security 12 |
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102 | 102 | | interests of the United States. 13 |
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103 | 103 | | (e) I |
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104 | 104 | | MPLEMENTATION; PENALTIES.— 14 |
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105 | 105 | | (1) I |
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106 | 106 | | MPLEMENTATION.—The President may ex-15 |
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107 | 107 | | ercise the authorities provided to the President 16 |
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108 | 108 | | under sections 203 and 205 of the International 17 |
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109 | 109 | | Emergency Economic Powers Act (50 U.S.C. 1702 18 |
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110 | 110 | | and 1704) to the extent necessary to carry out this 19 |
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111 | 111 | | section. 20 |
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112 | 112 | | (2) P |
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113 | 113 | | ENALTIES.—A person that violates, at-21 |
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114 | 114 | | tempts to violate, conspires to violate, or causes a 22 |
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115 | 115 | | violation of subsection (a) or any regulation, license, 23 |
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116 | 116 | | or order issued to carry out that subsection shall be 24 |
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117 | 117 | | subject to the penalties set forth in subsections (b) 25 |
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120 | 120 | | •HR 1795 IH |
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121 | 121 | | and (c) of section 206 of the International Emer-1 |
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122 | 122 | | gency Economic Powers Act (50 U.S.C. 1705) to the 2 |
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123 | 123 | | same extent as a person that commits an unlawful 3 |
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124 | 124 | | act described in subsection (a) of that section. 4 |
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125 | 125 | | (f) D |
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126 | 126 | | EFINITIONS.— 5 |
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127 | 127 | | (1) I |
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128 | 128 | | N GENERAL.—In this section: 6 |
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129 | 129 | | (A) F |
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130 | 130 | | IFTH OR FUTURE GENERATION 7 |
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131 | 131 | | TELECOMMUNICATIONS TECHNOLOGY .—The 8 |
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132 | 132 | | term ‘‘fifth or future generation telecommuni-9 |
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133 | 133 | | cations technology’’ means telecommunications 10 |
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134 | 134 | | technology that conforms to the technical stand-11 |
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135 | 135 | | ards followed by the telecommunications indus-12 |
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136 | 136 | | try for telecommunications technology that is 13 |
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137 | 137 | | commonly known in the industry as fifth gen-14 |
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138 | 138 | | eration or future generation technology. 15 |
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139 | 139 | | (B) F |
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140 | 140 | | OREIGN PERSON.—The term ‘‘foreign 16 |
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141 | 141 | | person’’ means any person that is not a United 17 |
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142 | 142 | | States person. 18 |
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143 | 143 | | (C) K |
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144 | 144 | | NOWINGLY.—The term ‘‘knowingly’’, 19 |
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145 | 145 | | with respect to conduct, a circumstance, or a 20 |
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146 | 146 | | result, means that a person has actual knowl-21 |
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147 | 147 | | edge, or should have known, of the conduct, the 22 |
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148 | 148 | | circumstance, or the result. 23 |
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149 | 149 | | (D) P |
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150 | 150 | | ERSON.—The term ‘‘person’’ means 24 |
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151 | 151 | | an individual or entity. 25 |
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154 | 154 | | •HR 1795 IH |
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155 | 155 | | (E) UNITED STATES PERSON .—The term 1 |
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156 | 156 | | ‘‘United States person’’ means— 2 |
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157 | 157 | | (i) a United States citizen or an alien 3 |
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158 | 158 | | lawfully admitted for permanent residence 4 |
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159 | 159 | | to the United States; or 5 |
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160 | 160 | | (ii) an entity organized under the laws 6 |
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161 | 161 | | of the United States or any jurisdiction 7 |
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162 | 162 | | within the United States, including a for-8 |
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163 | 163 | | eign branch of such an entity. 9 |
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164 | 164 | | (F) U |
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165 | 165 | | NTRUSTED TELECOMMUNICATIONS 10 |
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166 | 166 | | VENDOR.—The term ‘‘untrusted telecommuni-11 |
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167 | 167 | | cations vendor’’ has the meaning given to the 12 |
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168 | 168 | | term ‘‘covered communications equipment or 13 |
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169 | 169 | | service’’ in section 9 of the Secure and Trusted 14 |
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170 | 170 | | Communications Network Act of 2019 (47 15 |
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171 | 171 | | U.S.C. 1608). 16 |
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172 | 172 | | (2) D |
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173 | 173 | | ETERMINATION OF SIGNIFICANCE .—For 17 |
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174 | 174 | | the purposes of this section, in determining if trans-18 |
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175 | 175 | | actions are significant, the President may consider 19 |
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176 | 176 | | the totality of the facts and circumstances, including 20 |
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177 | 177 | | factors similar to the factors set forth in section 21 |
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178 | 178 | | 561.404 of title 31, Code of Federal Regulations (or 22 |
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179 | 179 | | any corresponding similar regulation or ruling). 23 |
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182 | 182 | | •HR 1795 IH |
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183 | 183 | | (3) RULE OF CONSTRUCTION .—For purposes of 1 |
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184 | 184 | | this section, a transaction shall not be construed to 2 |
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185 | 185 | | include— 3 |
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186 | 186 | | (A) participation in an international stand-4 |
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187 | 187 | | ards-setting body or the activities of such a 5 |
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188 | 188 | | body; or 6 |
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189 | 189 | | (B) a transaction involving existing third 7 |
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190 | 190 | | or fourth generation telecommunications net-8 |
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191 | 191 | | works. 9 |
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192 | 192 | | Æ |
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