China Financial Threat Bill Passes House

By an overwhelming margin of 400 to 5, the House Monday approved legislation (HR 1156) requiring the Treasury Department to report on the exposure of the United States to China’s financial sector of China.

Introduced by Rep. Abigail Spanberger (D-Va) The China Financial Threat Mitigation Act of 2023 is the latest in a long list of measures aimed at putting curbs on US economic relations with China, including severely restricting US investment in China and Chinese investment in the United States.

The measure would require Treasury to include in its report:

• the effects the reforms to China's financial sector have on US and global financial systems;

• a description of the policies the United States is adopting to protect US interests;

• a description and analysis of any risks presented by China to the financial stability of the United States and the global economy and

• recommendations for additional actions to strengthen international cooperation to mitigate risks and protect US interests.