,,ii #aagth ,,congress #ast ,session ,s4 #afeg ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,may #ag1 #bjba,mr4 ,rubio 7for himself and ,mr4 ,cardin7 introduced the following bill2 which was read twice and referred to the ,committee on ,foreign ,relations ,a ,,bill ,to impose sanctions with respect to the ,people's ,republic of ,china in relation to activities in the ,south ,china ,sea and the ,east ,china ,sea1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,south ,china ,sea and ,east ,china ,sea ,sanctions ,act of #bjba4 #b4 ,definitions ,in this ,act3 7#a7 ,account2 correspondent account2 payable-through account ,the terms account1 correspondent account1 and payable-through account have the meanings given those terms in section #ecah;,a of title #ca1 ,united ,states ,code4 7#b7 ,alien ,the term alien has the meaning given that term in section #aja7;a7 of the ,immigration and ,nationality ,act 7#h ,u4,s4,c4 #aaja7;a774 7#c7 ,appropriate committees of ,congress ,the term appropriate committees of ,congress means-- 7,a7 the ,committee on ,foreign ,relations1 the ,committee on ,armed ,services1 the ,committee on ,banking1 ,housing1 and ,urban ,affairs1 and the ,select ,committee on ,intelligence of the ,senate2 and 7,b7 the ,committee on ,foreign ,affairs1 the ,committee on ,armed ,services1 the ,committee on ,financial ,services1 and the ,permanent ,select ,committee on ,intelligence of the ,house of ,representatives4 7#d7 ,chinese person ,the term ,chinese person means-- 7,a7 an individual who is a citizen or national of the ,people's ,republic of ,china2 or 7,b7 an entity organized under the laws of the ,people's ,republic of ,china or otherwise subject to the jurisdiction of the ,government of the ,people's ,republic of ,china4 7#e7 ,financial institution ,the term financial institution means a financial institution specified in subparagraph 7,a71 7,b71 7,c71 7,d71 7,e71 7,f71 7,g71 7,h71 7,i71 7,j71 7,k71 7,m71 7,n71 7,p71 7,r71 7,t71 7,y71 or 7,z7 of section #ecab7;a77#b7 of title #ca1 ,united ,states ,code4 7#f7 ,foreign financial institution ,the term foreign financial institution has the meaning given that term in section #ajaj4fje of title #ca1 ,code of ,federal ,regulations 7or any corresponding similar regulation or ruling74 7#g7 ,knowingly ,the term knowingly1 with respect to conduct1 a circumstance1 or a result1 means that a person has actual knowledge1 or should have known1 of the conduct1 the circumstance1 or the result4 7#h7 ,person ,the term person means any individual or entity4 7#i7 ,united states person ,the term ,united ,states person means-- 7,a7 a ,united ,states citizen or an alien lawfully admitted for permanent residence to the ,united ,states2 or 7,b7 an entity organized under the laws of the ,united ,states or of any jurisdiction within the ,united ,states1 including a foreign branch of such an entity4 #c4 ,sanctions with respect to ,chinese persons responsible for ,china's activities in the ,south ,china ,sea and the ,east ,china ,sea 7a7 ,initial imposition of sanctions ,on and after the date that is #fj days after the date of the enactment of this ,act1 the ,president shall impose the sanctions described in subsection 7b7 with respect to-- 7#a7 any ,chinese person that contributes to construction or development projects1 including land reclamation1 island-making1 lighthouse construction1 building of base stations for mobile communications services1 building of electricity and fuel supply facilities1 or civil infrastructure projects1 or contributes to the ongoing supply of new settlements resulting from such development projects1 in areas of the ,south ,china ,sea contested by one or more members of the ,association of ,southeast ,asian ,nations2 7#b7 any ,chinese person that is responsible for or complicit in1 or has engaged in1 directly or indirectly1 actions or policies that threaten the peace1 security1 or stability of areas of the ,south ,china ,sea contested by one or more members of the ,association of ,southeast ,asian ,nations or areas of the ,east ,china ,sea administered by ,japan or the ,republic of ,korea1 including through the use of vessels and aircraft to impose the sovereignty of the ,people's ,republic of ,china in those areas2 7#c7 any ,chinese person that engages1 or attempts to engage1 in an activity or transaction that materially contributes to1 or poses a risk of materially contributing to1 an activity described in paragraph 7#a7 or 7#b72 and 7#d7 any person that-- 7,a7 is owned or controlled by a person described in paragraph 7#a71 7#b71 or 7#c72 7,b7 is acting for or on behalf of such a person2 or 7,c7 provides1 or attempts to provide-- 7i7 financial1 material1 technological1 or other support to a person described in paragraph 7#a71 7#b71 or 7#c72 or 7ii7 goods or services in support of an activity described in paragraph 7#a71 7#b71 or 7#c74 7b7 ,sanctions described 7#a7 ,blocking of property ,the ,president shall block and prohibit1 in accordance with the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agja et seq471 all transactions in all property and interests in property of any person subject to subsection 7a7 if such property and interests in property are in the ,united ,states1 come within the ,united ,states1 or are or come within the possession or control of a ,united ,states person4 7#b7 ,exclusion from united states ,the ,secretary of ,state shall deny a visa to1 and the ,secretary of ,homeland ,security shall exclude from the ,united ,states1 any person subject to subsection 7a7 that is an alien4 7#c7 ,current visa revoked ,the issuing consular officer1 the ,secretary of ,state1 or the ,secretary of ,homeland ,security 7or a designee of one of such ,secretaries7 shall revoke any visa or other entry documentation issued to any person subject to subsection 7a7 that is an alien1 regardless of when issued4 ,the revocation shall take effect immediately and shall automatically cancel any other valid visa or entry documentation that is in the alien's possession4 7c7 ,exceptions2 penalties 7#a7 ,inapplicability of national emergency requirement ,the requirements of section #bjb of the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agja7 shall not apply for purposes of subsection 7b77#a74 7#b7 ,compliance with united nations headquarters agreement ,paragraphs 7#b7 and 7#c7 of subsection 7b7 shall not apply if admission of an alien to the ,united ,states is necessary to permit the ,united ,states to comply with the ,agreement regarding the ,headquarters of the ,united ,nations1 signed at ,lake ,success1 ,june #bf1 #aidg1 and entered into force1 ,november #ba1 #aidg1 between the ,united ,nations and the ,united ,states4 7#c7 ,penalties ,the penalties provided for in subsections 7b7 and 7c7 of section #bjf of the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agje7 shall apply to a person that violates1 attempts to violate1 conspires to violate1 or causes a violation of regulations prescribed under subsection 7b77#a7 to the same extent that such penalties apply to a person that commits an unlawful act described in subsection 7a7 of such section #bjf4 7d7 ,additional imposition of sanctions 7#a7 ,in general ,the ,president shall prohibit the opening1 and prohibit or impose strict conditions on the maintaining1 in the ,united ,states of a correspondent account or a payable-through account by a foreign financial institution that the ,president determines knowingly1 on or after the date that is #fj days after the date of the enactment of this ,act1 conducts or facilitates a significant financial transaction for a person subject to subsection 7a7 if the ,director of ,national ,intelligence determines that the ,government of the ,people's ,republic of ,china has-- 7,a7 declared an air defense identification zone over any part of the ,south ,china ,sea2 7,b7 initiated reclamation work at another disputed location in the ,south ,china ,sea1 such as at ,scarborough ,shoal2 7,c7 seized control of ,second ,thomas ,shoal2 7,d7 deployed surface-to-air missiles to any of the artificial islands the ,people's ,republic of ,china has built in the ,spratly ,island chain1 including ,fiery ,cross1 ,mischief1 or ,subi ,reefs2 7,e7 established territorial baselines around the ,spratly ,island chain2 7,f7 repeated harassment of ,philippine vessels2 or 7,g7 repeated provocative actions against the ,japanese ,coast ,guard or ,maritime ,self-,defense ,force or ,united ,states forces in the ,east ,china ,sea4 7#b7 ,report 7,a7 ,in general ,the determination of the ,director of ,national ,intelligence referred to in paragraph 7#a7 shall be submitted in a report to the ,president and the appropriate committees of ,congress4 7,b7 ,form of report ,the report required by subparagraph 7,a7 shall be submitted in unclassified form1 but may include a classified annex4 #d4 ,determinations and report on ,chinese companies active in the ,south ,china ,sea and the ,east ,china ,sea 7a7 ,in general ,the ,secretary of ,state shall submit to the appropriate committees of ,congress a report that identifies each ,chinese person the ,secretary determines is engaged in the activities described in section #c7;a74 7b7 ,consideration ,in preparing the report required under subsection 7a71 the ,secretary shall make specific findings with respect to whether each of the following persons is involved in the activities described in section #c7;a73 7#a7 ,,cccc ,tianjin ,dredging ,co41 ,ltd4 7#b7 ,,cccc ,dredging 7,group7 ,company1 ,ltd4 7#c7 ,china ,communications ,construction ,company 7,,cccc71 ,ltd4 7#d7 ,china ,petroleum ,corporation 7,sinopec ,group74 7#e7 ,china ,mobile4 7#f7 ,china ,telecom4 7#g7 ,china ,southern ,power ,grid4 7#h7 ,,cnfc ,guangzhou ,harbor ,engineering ,company4 7#i7 ,zhanjiang ,south ,project ,construction ,bureau4 7#aj7 ,hubei ,jiangtian ,construction ,group4 7#aa7 ,china ,harbour ,engineering ,company 7,,chec74 7#ab7 ,guangdong ,navigation ,group 7,,gng7 ,ocean ,shipping4 7#ac7 ,shanghai ,leading ,energy ,shipping4 7#ad7 ,china ,national ,offshore ,oil ,corporation 7,,cnooc74 7#ae7 ,china ,oilfield ,services ,limited 7,,cosl74 7#af7 ,china ,precision ,machinery ,import_/,export ,corporation 7,,cpmiec74 7#ag7 ,china ,aerospace ,science and ,industry ,corporation 7,,casic74 7#ah7 ,aviation ,industry ,corporation of ,china 7,,avic74 7#ai7 ,shenyang ,aircraft ,corporation4 7#bj7 ,shaanxi ,aircraft ,corporation4 7#ba7 ,china ,ocean ,shipping 7,group7 ,company 7,,cosco74 7#bb7 ,china ,southern ,airlines4 7#bc7 ,zhan ,chaoying4 7#bd7 ,sany ,group4 7#be7 ,chinese persons affiliated with any of the entities specified in paragraphs 7#a7 through 7#bd74 7c7 ,submission and form 7#a7 ,submission ,the report required by subsection 7a7 shall be submitted not later than #fj days after the date of the enactment of this ,act and every #ahj days thereafter until the date that is #c years after such date of enactment4 7#b7 ,form ,the report required by subsection 7a7 shall be submitted in unclassified form1 but may include a classified annex if the ,secretary determines it is necessary for the national security interests of the ,united ,states to do so4 7#c7 ,public availability ,the ,secretary shall publish the unclassified part of the report required by subsection 7a7 on a publicly available website of the ,department of ,state4 #e4 ,prohibition against documents portraying the ,south ,china ,sea or the ,east ,china ,sea as part of ,china ,the ,government ,publishing ,office may not publish any map1 document1 record1 electronic resource1 or other paper of the ,united ,states 7other than materials relating to hearings held by committees of ,congress or internal work product of a ,federal agency7 portraying or otherwise indicating that it is the position of the ,united ,states that the territory or airspace in the ,south ,china ,sea contested by one or more members of the ,association of ,southeast ,asian ,nations or the territory or airspace of areas of the ,east ,china ,sea administered by ,japan or the ,republic of ,korea is part of the territory or airspace of the ,people's ,republic of ,china4 #f4 ,prohibition on facilitating certain investments in the ,south ,china ,sea or the ,east ,china ,sea 7a7 ,in general ,no ,united ,states person may take any action to approve1 facilitate1 finance1 or guarantee any investment1 provide insurance1 or underwriting in the ,south ,china ,sea or the ,east ,china ,sea that involves any person with respect to which sanctions are imposed under section #c7;a74 7b7 ,enforcement ,the ,secretary of the ,treasury1 in consultation with the ,secretary of ,state1 is authorized to take such actions1 including the promulgation of such rules and regulations1 as may be necessary to carry out the purposes of this section4 7c7 ,penalties ,the penalties provided for in subsections 7b7 and 7c7 of section #bjf of the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agje7 shall apply to a person that violates1 attempts to violate1 conspires to violate1 or causes a violation of regulations prescribed under this section to the same extent that such penalties apply to a person that commits an unlawful act described in subsection 7a7 of such section #bjf4 7d7 ,exception ,subsection 7a7 shall not apply with respect to humanitarian assistance1 disaster assistance1 or emergency food assistance4 #g4 ,department of ,justice affirmation of non-recognition of annexation ,in any matter before any ,united ,states court1 upon request of the court or any party to the matter1 the ,attorney ,general shall affirm the ,united ,states policy of not recognizing the de jure or de facto sovereignty of the ,people's ,republic of ,china over territory or airspace contested by one or more members of the ,association of ,southeast ,asian ,nations in the ,south ,china ,sea or the territory or airspace of areas of the ,east ,china ,sea administered by ,japan or the ,republic of ,korea4 #h4 ,non-recognition of ,chinese sovereignty over the ,south ,china ,sea or the ,east ,china ,sea 7a7 ,united states armed forces ,the ,secretary of ,defense may not take any action1 including any movement of aircraft or vessels that implies recognition of the sovereignty of the ,people's ,republic of ,china over territory or airspace contested by one or more members of the ,association of ,southeast ,asian ,nations in the ,south ,china ,sea or the territory or airspace of areas of the ,east ,china ,sea administered by ,japan or the ,republic of ,korea4 7b7 ,united states flagged vessels ,no vessel that is issued a certificate of documentation under chapter #aba of title #df1 ,united ,states ,code1 may take any action that implies recognition of the sovereignty of the ,people's ,republic of ,china over territory or airspace contested by one or more members of the ,association of ,southeast ,asian ,nations in the ,south ,china ,sea or the territory or airspace of areas of the ,east ,china ,sea administered by ,japan or the ,republic of ,korea4 7c7 ,united states aircraft ,no aircraft operated by an air carrier that holds an air carrier certificate issued under chapter #daa of title #di1 ,united ,states ,code1 may take any action that implies recognition of the sovereignty of the ,people's ,republic of ,china over territory or airspace contested by one or more members of the ,association of ,southeast ,asian ,nations in the ,south ,china ,sea or the territory or airspace of areas of the ,east ,china ,sea administered by ,japan or the ,republic of ,korea4 #i4 ,prohibition on certain assistance to countries that recognize ,chinese sovereignty over the ,south ,china ,sea or the ,east ,china ,sea 7a7 ,prohibition ,except as provided by subsection 7c7 or 7d71 no amounts may be obligated or expended to provide foreign assistance to the government of any country identified in a report required by subsection 7b74 7b7 ,report required 7#a7 ,in general ,not later than #fj days after the date of the enactment of this ,act1 and every #ahj days thereafter until the date that is #c years after such date of enactment1 the ,secretary of ,state shall submit to the appropriate committees of ,congress a report identifying each country that the ,secretary determines recognizes1 after such date of enactment1 the sovereignty of the ,people's ,republic of ,china over territory or airspace contested by one or more members of the ,association of ,southeast ,asian ,nations in the ,south ,china ,sea or the territory or airspace of areas of the ,east ,china ,sea administered by ,japan or the ,republic of ,korea4 7#b7 ,form ,the report required by paragraph 7#a7 shall be submitted in unclassified form1 but may include a classified annex if the ,secretary of ,state determines it is necessary for the national security interests of the ,united ,states to do so4 7#c7 ,public availability ,the ,secretary of ,state shall publish the unclassified part of the report required by paragraph 7#a7 on a publicly available website of the ,department of ,state4 7c7 ,exception ,this section shall not apply with respect to ,taiwan1 humanitarian assistance1 disaster assistance1 emergency food assistance1 or the ,peace ,corps4 7d7 ,waiver ,the ,president may waive the application of subsection 7a7 with respect to the government of a country if the ,president determines that the waiver is in the national interests of the ,united ,states4