H.R. 6447: Combatting China’s Pilfering of Intellectual Property Act

This bill, known as the Combatting China’s Pilfering of Intellectual Property Act, aims to address the theft of intellectual property (IP) from U.S. individuals and entities by various actors in China. Here’s a breakdown of its main provisions:

1. Sanctions for IP Theft

• The President is required to impose sanctions on individuals or entities in China that are found to have engaged in a pattern of significant theft of U.S. intellectual property.
• Sanctions may also apply to those who have benefited from IP theft conducted by others.

2. Types of Sanctions

The sanctions may include:

• Asset Blocking: The U.S. President can block and prohibit transactions that involve property and interests of the offending individuals or entities in the United States.
• Visa Restrictions: Foreign individuals identified as engaging in IP theft will be ineligible for visas and entry into the U.S. Furthermore, any existing visas for these individuals will be revoked.

3. Targeted Individuals and Entities

The sanctions apply to:

• Individuals who are Chinese nationals or acting on behalf of Chinese nationals/entities.
• Entities organized under Chinese laws or controlled by Chinese individuals or entities.

4. Penalties and Enforcement

Any violations of the sanctions may result in penalties under existing U.S. law, specifically the International Emergency Economic Powers Act. The President will have the authority to enforce these sanctions and can waive them in certain cases for national security reasons.

5. Reporting Requirements

The President must submit a report to Congress within 180 days of the bill's enactment detailing individuals or entities subject to sanction. Additionally, the Secretary of State will report on the effectiveness of visa screenings related to preventing IP theft.

6. Definitions

The bill includes definitions for key terms, such as “United States person” and classifications for “aliens” within the context of immigration law.

7. Suspension of Visa Privileges

There are restrictions on issuing visas to:

• High-ranking officials in the Chinese Communist Party.
• Their immediate family members.
• Senior government officials of China.
• Active duty members of the Chinese military.

8. Conditions for Visa Issuance

The restrictions on visas will not apply if the President certifies that the Chinese government has stopped supporting IP theft activities.

Relevant Companies

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