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U.S. legislation counters China on economic and other issues

| Apr 9, 2021 | Business Issues

With tensions between the U.S. and China at their peak, lawmakers in Washington recently announced legislation addressing several pertinent issues from business and economics to human rights, military and democracy.

On April 8, the U.S. Senate Foreign Relations Committee announced a bill known as the Strategic Competition Act of 2021. The legislation will get a full review by the committee on April 21, and the bill seems to have bipartisan support as Democrats and Republicans hope to counter China on several fronts including its economic growth and global influence.

More defense of intellectual property

The U.S. and China are the world’s two biggest economies, dependent on each other but, sometimes, miles apart in critical issues. The Strategic Competition Act is geared toward protecting and promoting the vital interests of the U.S. and includes a variety of strategic and diplomatic plans to counter China.

The lengthy bill of more than 280 pages focuses on economic competition between the two companies but also addresses human rights among Muslim Uighurs and democracy matters related to Hong Kong.

Among the matters the bill addresses include additional U.S. investment in domestic infrastructure and technology to better compete with China in areas such as science, global supply chains and technology.

Along the business front, the bill addresses:

  • Defending the intellectual property (IP) of U.S. companies. For years, American companies have clamored for stronger IP protection. The bill would strengthen U.S. positions and point toward progress.
  • Providing better enforcement of export controls on products such as technology, software and commodities.

In addressing military matters, the bill promises to strengthen measures pertaining to arms control with U.S. allies and require China to provide information regarding its weapons and space systems. The bill also addresses China’s growing global influence and its advancements within Asia.