The U.S. House of Representatives is set to vote on a series of bills aimed at China, including one that would prevent federal contractors from working with Chinese biotech firms.
What Happened: The U.S. lawmakers are pushing forward with a number of bills targeting China, as Congress reconvenes after its summer break. This week, dubbed as “China Week,” will see the House voting on dozens of bills, 31 out of the 36 pending ones, bypassing a parliamentary procedure for quick approval, Nikkei Asia reported on Monday.
One of the key bills, the BIOSECURE Act, aims to block federal contracts with five Chinese biotech equipment and service providers, including WuXi AppTec and WuXi Biologics, over national security concerns. The bill has garnered bipartisan support since its introduction by then-Republican Rep. Mike Gallagher.
Other bills to be voted on include measures to limit business with Chinese supply chains for electric vehicles and to restrict DJI drones from using American communications infrastructure.
These bills will need to be passed by both the House and the Senate before President Joe Biden can sign them into law. This comes after Biden signed a measure in April to ban the TikTok video-sharing app unless Chinese parent ByteDance divests within a year.
Why It Matters: This legislative push comes amid weakening ties between the two economies. The Chinese Embassy in Washington has criticized these bills, stating they would interfere in China’s internal affairs and damage U.S.-China relations.
The BIOSECURE Act comes after increased scrutiny on Chinese biotech firms like WuXi AppTec. However, despite the trade conflicts between the two countries, western pharmaceutical companies have been striking record licensing deals with Chinese drugmakers.
Earlier this year, the Biden administration proposed measures to limit China’s access to advanced AI chips, reflecting the ongoing tensions between the two nations. The current U.S. policy towards China has been criticized as “Sinophobic” by some, including former Morgan Stanley Asia chairman Stephen Roach.
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This story was generated using Benzinga Neuro and edited by Pooja Rajkumari
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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