,i  #aafth ,,congress  #b;d ,session    
,h4 ,r4 #hhca  ,,in ,,the ,,house ,,of  
,,representatives  ,december #b1        
#bjbj,mr4 ,buck introduced the following
 bill2 which was referred to the        
,committee on ,foreign ,affairs  ,a     
,,bill  ,to codify the denial of export 
privileges and related provisions under 
title #ae1 ,code of ,federal            
,regulations4  #a4 ,findings ,congress  
finds the following3 7#a7 ,the ,founders
 of the ,united ,states viewed          
intellectual property rights as         
fundamental rights that must be         
protected by the government4  7#b7      
,article ,i1 section #h1 clause #h of   
the ,united ,states ,constitution       
affirmatively defends the individual's  
right to protect intellectual property  
by granting ,congress power to promote  
the ,progress of ,science and ,useful   
arts1 by securing1 for limited ,times1  
to ,authors and ,inventors1 the         
exclusive ,right to their respective    
,writings and ,discoveries4  7#c7 ,the  

,commission on the ,theft of ,american  
,intellectual ,property estimates that  
intellectual property theft costs the   
,united ,states economy approximately   
#fjj billion annually4  7#d7 ,a ,march  
#a1 #bjai1 ,,cnbc poll found that       
one-in-five ,united ,states corporations
 say that ,china has stolen proprietary 
intellectual property within the last   
year and one-in-three ,united ,states   
corporations state that ,china has      
stolen their intellectual property      
within the last decade4  7#e7 ,the      
,commission on the ,theft of ,american  
,intellectual ,property further reports 
that ,china's industrial policies call  
for the absorption1 digestion1 and      
re-innovation of foreign intellectual   
property to meet the ,made in ,china    
#bjbe goal of #dj percent               
self-sufficiency by #bjbj and #ge       
percent by #bjbe4  7#f7 ,the ,chinese   
,government remains the world's         
principle source of intellectual        
property theft4  7#g7 ,china engages in 

foreign ownership restrictions that     
include joint venture requirements and  
administrative reviews that pressure    
,united ,states companies to transfer   
intellectual property and proprietary   
technology to ,chinese companies4  7#h7 
,china imposes harmful contractual      
obligations on ,united ,states companies
 seeking to license their proprietary   
technology to ,chinese-based firms and  
is engaged in a purposeful and unfair   
practice of acquiring ,united ,states   
businesses to generate technology       
transfers4  7#i7 ,the ,chinese          
,government is engaged in cyber attacks 
against ,united ,states businesses1     
military installations1 and government  
entities1 including the ,united ,states 
,office of ,personnel ,management1      
resulting in the theft of untold        
proprietary information and commercial  
trade secrets4  7#aj7 ,china is         
undertaking the greatest intellectual   
property theft in human history         
according to ,secretary of ,defense     

,mark ,esper4  7#aa7 ,congress must take
 bold action to combat the ,chinese     
,government's concerted efforts to      
perpetrate cyber attacks against ,united
 ,states entities and steal ,united     
,states intellectual property4  7#ab7   
,denial orders are issued by the        
,assistant ,secretary of ,commerce for  
,export ,enforcement of the ,bureau of  
,industry and ,security to deny the     
export privileges of an entity or       
individual4 ,a denial of export         
privileges prohibits the person from    
participating in any way in any         
transaction subject to the ,export      
,administration ,regulations 7,,ear74   
,furthermore1 it is unlawful for any    
other entity or individual to           
participate in any way in an export     
transaction subject to the ,,ear with a 
person subject to a denial order4  7#ac7
 ,on ,april #af1 #bjah1 ,secretary of   
,commerce ,wilbur ,ross announced that  
the ,bureau of ,industry and ,security  
of the ,department of ,commerce had     

issued an order to deny the export      
privileges of ,zhongxing                
,telecommunications ,equipment          
,corporation of ,shenzhen1 ,china       
78,,zte ,corporation07 and ,,zte        
,kangxun ,telecommunications ,ltd4 of   
,hi-,new ,shenzhen1 ,china4  #b4 ,sense 
of ,congress ,it is the sense of        
,congress that-- 7#a7 denial orders are 
an important foreign policy tool to use 
against foreign entities and            
individuals1 especially ,chinese        
persons1 with a pattern of violating    
,united ,states laws1 especially laws   
relating to intellectual property2 and  
7#b7 the ,department of ,commerce should
 vigorously utilize denial orders to    
hold such persons accountable4  #c4     
,strategy ,not later than one year after
 the date of the enactment of this ,act1
 the ,secretary of ,commerce1 in        
consultation with the ,secretary of     
,state1 the ,secretary of ,treasury1 and
 ,attorney ,general1 shall submit to    
,congress a strategy regarding how      

denial orders issued by the ,bureau of  
,industry and ,security of the          
,department of ,commerce to deny the    
export privileges of foreign entities   
and individuals1 especially entities and
 individuals located in ,china1 can be  
better utilized as part of a holistic   
approach to hold such entities and      
individuals accountable for theft of    
,united ,states intellectual property4  
#d4 ,codification of denial of export   
privileges and related provisions under 
title #ae1 ,code of ,federal            
,regulations ,the provisions of part    
#gcj of title #ae1 ,code of ,federal    
,regulations1 relating to general       
information1 and section #gff4be of such
 title1 relating to administrative      
action denying export privileges1 are   
hereby enacted into law4