{"id":423226,"date":"2024-11-26T13:18:00","date_gmt":"2024-11-26T13:18:00","guid":{"rendered":"https:\/\/www.saipantribune.com\/?p=423226"},"modified":"-0001-11-30T00:00:00","modified_gmt":"-0001-11-29T14:00:00","slug":"Legislation-introduced-to-combat-financial-threats-from-Chinese-Communist-Party","status":"publish","type":"post","link":"https:\/\/www.saipantribune.com\/index.php\/Legislation-introduced-to-combat-financial-threats-from-Chinese-Communist-Party\/","title":{"rendered":"Legislation introduced to combat financial threats from Chinese Communist Party"},"content":{"rendered":"

(The Center Square) \u2013 Legislation has been introduced in the U.S. Senate to support the nation\u2019s response stemming from financial threats by the Chinese Communist Party.<\/span><\/p>\n

The bipartisan China Financial Threat Mitigation Act of 2024 is led by Sens. Mark Warner, D-Va., Mike Rounds, R-S.D., and Cynthia Lummis, R-Wyo. Companion legislation was introduced and passed last year in the House sponsored by Reps. Abigail Spanberger, D-Va., and Roger Williams, R-Texas.<\/span><\/p>\n

The act<\/a><\/strong> would \u201crequire deeper analysis of potential financial threats from the CCP that may have substantial impacts on the U.S. economy.\u201d<\/span><\/p>\n

The legislation would require the U.S. Department of Treasury, \u201cin consultation\u201d with the State Department, Federal Reserve, U.S. Securities and Exchange Commission, and Commodity Futures Trading Commission, to report on potential threats against the nation by China\u2019s financial sector.<\/span><\/p>\n

The legislators say the report must address the \u201ceffects the reforms to China\u2019s financial sector have\u201d on American and global financial systems, policy descriptions the U.S. is adopting to protect national interests, an analysis and description of any risks from China that could impact the economic stability of the American and global economy; and recommendations on action that could \u201cstrengthen international cooperation to mitigate risks\u201d while protecting U.S. interests.<\/span><\/p>\n

A\u00a0<\/span>report from the U.S. China Economic and Security Review Commission<\/a><\/strong>, cited by the House, highlighted vulnerabilities in dealing with the Chinese banking system.<\/span><\/p>\n

\u201cExchange rates are the most likely channel through which economic pain could be transmitted to U.S. investors. But a number of other channels, such as the inclusion of Chinese equities into major international indexes, are also raising the exposure of U.S. investors and savers to China\u2019s risky banking system,\u201d according to the report.<\/span><\/p>\n

Warner warns of increased Chinese \u201caggression\u201d toward the U.S., saying the country must take steps to protect the financial sector.<\/span><\/p>\n

\u201cAs the Chinese Communist Party continues to ramp up aggression towards the United States, it is crucial that we take proactive steps to protect U.S. institution and interests, and out financial sector is no exception,\u201d said the senator. \u201cThis bipartisan legislation takes the first step towards ensuring that the U.S. is prepared to counter the threat posed by the CCP by shoring up our financial systems.\u201d<\/span><\/p>\n

Rounds warns of the CCP’s major influence over China\u2019s banking system and its ability to manipulate \u201cdesired outcomes.\u201d<\/span><\/p>\n

“The Chinese Communist Party retains the ability to intervene decisively in China\u2019s banking system to achieve desired outcomes \u2013 a reality that poses potential risks to American businesses,\u201d said Rounds. \u201cTo counter this, we need a clear understanding of how China\u2019s financial sector impacts the U.S. economy and global financial systems.\u201d<\/span><\/p><\/p>\n","protected":false},"excerpt":{"rendered":"

(The Center Square) \u2013 Legislation has been introduced in the U.S. Senate to support the…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23812],"tags":[],"class_list":["post-423226","post","type-post","status-publish","format-standard","hentry","category-national"],"_links":{"self":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/423226","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/comments?post=423226"}],"version-history":[{"count":0,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/423226\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/media?parent=423226"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/categories?post=423226"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/tags?post=423226"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}