Bill > S3640

This bill, titled the "Divesting from Communist China’s Military Act of 2026," mandates that the Secretary of the Treasury must add any entity identified by the Secretary of Defense as a "Chinese military company" to the Non-SDN Chinese Military-Industrial Complex Companies List, commonly known as the NS-CMIC List, within 90 days of such identification, provided it's not already listed. A "Chinese military company" is defined as an entity that is owned or controlled by, or acts on behalf of, various Chinese military, intelligence, or security organizations, or is a contributor to China's military-industrial complex, and is involved in commercial services, manufacturing, production, or export. Once an entity is added to the NS-CMIC List, prohibitions outlined in Executive Order 13959, which addresses threats from securities investments that finance such companies, will generally apply within 60 days. However, U.S. persons will have a one-year period after an entity's inclusion on the list to divest any publicly traded securities they hold in that entity. This action aims to harmonize U.S. government sanctions and investment restrictions to better address national security risks posed by these companies, building upon previous executive orders and defense authorization acts that have already imposed restrictions on dealings with Chinese military companies.

Housing and Urban Affairs

https://www.congress.gov/bill/119th-congress/senate-bill/3640/all-info