Senators to Move 'Quickly' on Bill to Expand US Sanctions Against China
Two senators plan to introduce a bill they say will expand U.S. sanctions against Chinese efforts to meddle in Hong Kong’s autonomy. The bill would impose sanctions on Chinese policymakers and entities and would introduce secondary sanctions against certain banks, said Sens. Pat Toomey, R-Pa., and Chris Van Hollen, D-Md.
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The bill comes amid widespread international criticism of a Chinese law that is expected to be considered during the current session of China’s National People’s Congress (see 2005220011) and which would criminalize secession, treason and sedition. The senators’ bill has bipartisan support, Toomey and Van Hollen said during a May 26 conference call with reporters. Both said they want to pass it as soon as possible. “We intend to move quickly,” Van Hollen said.
The bill significantly expands on the 2019 Hong Kong Human Rights and Democracy Act (see 1911290012), which authorizes the U.S. to revoke Hong Kong’s special customs status and to impose export controls if the State Department certifies that the new Chinese law infringes on human rights in Hong Kong, according to the senators. If passed, the senators’ legislation will target foreign financial institutions that are “financing the objectionable conduct,” Toomey said, calling it a “very powerful” tool. “These sanctions that we’ve proposed are likely to be very, very powerful for a very, very long time,” he said. Van Hollen called the bank provision “the spear in this piece of legislation,” saying he hopes it will dissuade a range of private-sector actors from aiding China’s crackdown on Hong Kong liberties. “This is intended to hit them … where it hurts,” Van Hollen said.
The bill also contains an important provision that would allow Congress to override any attempt by the administration to waive sanctions authorized by the bill, Van Hollen said. But both senators said they don’t foresee that being an issue and expect the administration to swiftly impose sanctions under the 2019 Hong Kong act. “We want to make it very clear that Congress is serious about implementing the provisions. That applies to any administration, current or future,” Van Hollen said. The bill’s override provision would act “as a backstop to make clear that we intend to enforce the accountability provisions in the legislation if the administration chooses not to,” he added.
Sen. Lindsey Graham, R-S.C., urged the Senate to pass the bill quickly, saying it has widespread support. “Time is of the essence,” Graham said May 26. “I believe there would be a large bipartisan vote to punish China for their outrageous conduct toward Hong Kong.” Sen. Marco Rubio, R-Fla., said May 26 that China should lose all investment and market benefits it gains from Hong Kong if China enacts the law.
The senators announced plans for the bill as more than 200 global political figures, including at least 17 members of Congress, signed a joint statement denouncing the Chinese law. The statement, organized by former Hong Kong Governor Christopher Patten and former British Foreign Secretary Malcolm Rifkind, said the law is a “comprehensive assault” on Hong Kong’s autonomy and called on governments to act. “If the international community cannot trust Beijing to keep its word when it comes to Hong Kong, people will be reluctant to take its word on other matters,” the statement said, according to Hong Kong Watch.
China said it will retaliate if the U.S. imposes sanctions and criticized comments from U.S. officials and lawmakers. “China is firmly opposed to the noises made by certain U.S. politicians on the Hong Kong-related agenda,” a Foreign Ministry spokesperson said during a May 25 press conference. “If the U.S. is bent on harming China's interests, China will have to take all necessary measures to fight back.”
Toomey and Van Hollen declined to say how the bill may impact U.S.-China trade relations, including the phase one trade deal. But Toomey said he hopes both sides honor their commitments. “There are other factors our administration is going to have to contemplate,” Toomey said, “But our focus is Hong Kong.” Van Hollen said the U.S. must hold China accountable for human rights abuses regardless of concerns over trade pacts. “China will have to decide whether it wants to proceed with the provisions of the trade agreement,” Van Hollen said. “It should honor whatever commitments it has made.”