Press Releases

WASHINGTON – Today, House Armed Services Committee and China Task Force member, Rep. Jim Banks, applauded President Trump’s executive order blocking U.S. investments in 31 firms identified by the U.S. as aiding China’s military industrial base. 

In June, Rep. Banks introduced H.R. 7064, the Stop Funding the PLA Act, which is extremely similar to the president’s executive order. It directs the executive branch to develop a list of firms closely tied to China’s military and bars U.S. investors from funding those firms. Reps. Mike Gallagher and Doug LaMalfa joined as original co-sponsors.

“This is one of the wisest and most significant foreign policy decisions President Trump has made since he entered office. It’s ridiculous that the U.S. ever allowed the funding of our chief global adversaries’ rise, and it’s a mistake we can’t make again,” said Rep. Jim Banks. “Republicans and Democrats who care about national security must unite behind the Stop Funding the PLA Act and make containment of China’s military-industrial base a permanent aspect of U.S. foreign policy.”

Rep. Jim Banks first drew attention to the issue of U.S. investments in China’s military in May 2019 when he introduced H.R. 2903, the Blocking Investment in Our Adversaries Act. That bill would prevent TSP savings from being invested in Chinese or Russian companies.

In January, Rep. Banks also raised the alarm that state pension funds like CalPERS were already investing heavily in Chinese companies affiliated with the Chinese military and connected to human rights abuses. 

Additional background on the Stop Funding the PLA Act:

• The Treasury Department will work in consultation with the State Department, DOD, Intelligence Community and experts in the civilian sector to build a list of blacklisted companies with substantial ties to the People’s Liberation Army and update that list annually.
• The list and a comprehensive report is due to the Senate and House Financial Services Committees.
• The bill would prevent U.S. individuals, entities, companies, banks and financial institutions from investing in blacklisted companies.

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