Deter PRC Aggression Against Taiwan Act
- Bill Number
- S. 2960
- Origin Chamber
- Senate
- Congress
- 119th Congress, Session 1
- Policy Area
- International Affairs
- Status
- Introduced
- Latest Action
- 2025-10-30: Placed on Senate Legislative Calendar under General Orders. Calendar No. 245.
- Last Updated
- 2026-05-14T15:31:18Z
AI-Generated Summary
Purpose of the Legislation
The "Deter PRC Aggression Against Taiwan Act" aims to prepare the United States to use economic measures, such as sanctions, to discourage or respond to aggressive actions by the People's Republic of China (PRC) against Taiwan. It focuses on identifying targets and strategies without immediately imposing penalties, while reaffirming the U.S. commitment to its long-standing "One China" policy.
Key Provisions
- Short Title: The Act is titled the "Deter PRC Aggression Against Taiwan Act."
- Sense of Congress:
- Emphasizes the need for the U.S. to be ready to sanction military or non-military entities controlled by the PRC government or Chinese Communist Party if they support actions like overthrowing Taiwan's institutions, occupying its territory, violating its borders, or conducting blockades, island seizures, or major physical/cyber attacks that disrupt Taiwan's governance or services.
- Reiterates U.S. policy: Supports peaceful resolution of Taiwan's status per the Taiwan Relations Act, U.S.-PRC Joint Communiqués, and Six Assurances; opposes PRC use of force or coercion; and ensures task force plans complement, not contradict, existing U.S. policy.
- Definitions:
- "Appropriate congressional committees": Lists key Senate and House committees on foreign relations, banking, commerce, finance, and related areas.
- "PRC": Refers to the People's Republic of China.
- "PRC Sanctions Task Force" or "Task Force": The interagency group created by the Act.
- Establishment of the PRC Sanctions Task Force:
- Within 180 days of enactment, the State Department's Sanctions Coordinator and Treasury's Office of Foreign Assets Control Director, with input from the Director of National Intelligence and other agencies, must form an interagency task force.
- The task force identifies PRC-linked military and non-military entities (e.g., in shipping, logistics, energy, maritime, aviation, transportation, and technology) that could face U.S. sanctions if the PRC attempts physical or political control over Taiwan.
- Strategy Briefing:
- Within 180 days of the task force's creation, it must brief congressional committees on a strategy that:
- Evaluates using existing sanctions programs.
- Proposes new sanctions authorities if needed.
- Analyzes economic effects on the U.S., allies, and partners, including mitigation via licenses, exemptions, or carve-outs (exceptions for certain activities).
- Promotes coordination with allies to target PRC financial/industrial sectors, resolve coordination barriers, identify high-impact areas for joint actions, and support Taiwan/economically coerced nations.
- Assesses resource needs at agencies like State, Treasury, Commerce, and the U.S. Trade Representative.
- Recommends targeting PRC individuals, entities, and sectors based on their role in threats to U.S. interests, economic harm to the PRC (especially regarding Taiwan goals), and global financial stability impacts (e.g., on state-owned enterprises, officials, banks, and private companies).
- Annual Report:
- Starting 180 days after the initial briefing and yearly thereafter, the task force submits a classified report to congressional committees covering identified entities, needed authorities, economic impacts/mitigations, ally coordination status, resource gaps, and additional needs to implement strategies.
- Rules of Construction:
- No change to U.S. "One China" policy.
- Recommended sanctions are not automatic; they require explicit authorization under existing or future laws enacted by Congress.
Significant Changes to Existing Law
This Act introduces new mechanisms without directly amending prior laws. It creates an interagency task force and reporting requirements to proactively plan sanctions, building on existing authorities (e.g., those in the International Emergency Economic Powers Act, though not specified). It proposes potential new sanctions tools but makes clear they are not self-executing, requiring future congressional action. It also codifies a "sense of Congress" to reinforce U.S. policy on Taiwan without altering statutes like the Taiwan Relations Act.
Potential Impacts
- Government Agencies: Increases workload for State, Treasury, Intelligence Community, Commerce, and Trade Representative through task force operations, briefings, and reports; may require additional resources to analyze sanctions and coordinate internationally.
- Citizens: Indirect effects via potential economic ripple effects from sanctions, such as higher costs for goods/services if global trade is disrupted; U.S. citizens in affected sectors (e.g., tech, energy) could face job or investment impacts, though mitigations like exemptions aim to limit harm.
- International Relations: Strengthens U.S. alliances by mandating coordination on economic responses, potentially deterring PRC aggression and supporting Taiwan; could escalate tensions with the PRC, risking trade retaliations or broader geopolitical friction, while signaling U.S. resolve on Taiwan without committing to military action.
Main Stakeholders Affected
- U.S. Government: Executive agencies (State, Treasury, etc.) for implementation; Congress for oversight and potential future authorizations.
- PRC Entities: Government officials, state-owned enterprises, financial institutions, and private companies in key sectors (e.g., energy, technology) that could be targeted.
- Taiwan: Benefits from deterrence and potential economic support against PRC coercion.
- U.S. Allies and Partners: Involved in coordination; may face economic consequences but gain from joint strategies (e.g., Japan, EU nations with PRC trade ties).
- Global Businesses and Financial Systems: Affected by sanctions targeting PRC sectors, potentially disrupting supply chains or markets.
Notable Legal, Constitutional, or Political Implications
- Legal: Ensures sanctions comply with U.S. law by requiring congressional approval, avoiding executive overreach; classified reports protect sensitive intelligence while informing policy.
- Constitutional: Aligns with Congress's powers over foreign commerce and declarations of war (Article I), and the president's foreign affairs role (Article II), by framing this as preparatory planning rather than unilateral action.
- Political: Signals bipartisan U.S. concern over Taiwan (introduced by Sens. Risch, Shaheen, Coons, Ricketts), potentially influencing PRC behavior through deterrence; reinforces non-recognition of PRC claims on Taiwan without shifting to formal independence support, maintaining strategic ambiguity in U.S. Asia policy.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (13)
Sen. Shaheen, Jeanne [D-NH], Sen. Coons, Christopher A. [D-DE], Sen. Ricketts, Pete [R-NE], Sen. Bennet, Michael F. [D-CO], Sen. Cornyn, John [R-TX], Sen. Kim, Andy [D-NJ], Sen. Budd, Ted [R-NC], Sen. Hagerty, Bill [R-TN], Sen. Scott, Rick [R-FL], Sen. Boozman, John [R-AR], Sen. Merkley, Jeff [D-OR], Sen. Wicker, Roger F. [R-MS], Sen. McCormick, David [R-PA]
Recent Actions
- 2025-10-30: Placed on Senate Legislative Calendar under General Orders. Calendar No. 245.
- 2025-10-30: Committee on Foreign Relations. Reported by Senator Risch with an amendment in the nature of a substitute. Without written report.
- 2025-10-30: Committee on Foreign Relations. Reported by Senator Risch with an amendment in the nature of a substitute. Without written report.
- 2025-10-22: Committee on Foreign Relations. Ordered to be reported with an amendment in the nature of a substitute favorably.
- 2025-10-01: Read twice and referred to the Committee on Foreign Relations.
- 2025-10-01: Introduced in Senate
Bill Versions
- Deter PRC Aggression Against Taiwan Act — issued 2025-10-01 — PDF (8 pages)
- Deter PRC Aggression Against Taiwan Act — issued 2025-10-30 — PDF (20 pages)