WASHINGTON — The Coalition for a Prosperous America (CPA) today sent a coalition letter to Members of the U.S. House Committee on Armed Services requesting that lawmakers “immediately put an end to Chinese Military Companies (CMC’s) being funded by millions of unwitting American investors.” Co-signers of the letter included: Fight for Freedom. Stand with Hong Kong.; Global Solidarity with Hong Kong – Chicago; Northern California Hong Kong Club; and Victims of Communism Memorial Foundation.
“We must immediately put an end to Chinese Military Companies (CMC’s) being funded by millions of unwitting American investors,” the letter stated. “Through Executive Orders, these CMC’s were then subject to first-time capital markets sanctions, barring U.S. investment in these companies worldwide (within a one-year period) that were determined to be a threat to U.S. national security interests.”
In June, CPA urged President Joe Biden to place capital markets sanctions on additional Chinese companies present in U.S. capital markets. CPA requested the Biden administration update their list of sanctioned Chinese companies to include companies that were originally on the Pentagon’s Chinese Communist Military Companies List, which was first established by Executive Order 13959 signed by President Trump. Additionally, CPA requested the Biden administration apply capital markets sanctions to the five newest Chinese companies added to the Entity List on June 24, three of which are currently traded in U.S. capital markets.
“With the advent of the Biden administration, the previous Executive Orders (13959 and 13974) were rescinded and replaced with Executive Order 14032,” the letter continued. “Unfortunately, the Executive Order no longer requires that the companies determined to be CMC’s of concern to the U.S., as reported by the Department of Defense (DOD), be included in the Treasury Department’s Office of Foreign Assets Control (OFAC) Non-Specially Designated National (SDN) Chinese Military-Industrial Complex Companies List (NS-CMIC List)… We ask that the Committee take a firm stand in the NDAA mark-up next week and make clear that Congress will not stand by idly as scores of millions of unwitting U.S. investors help fund the military-industrial complex of our leading adversary — the Chinese Communist Party.”
Read the full text of the letter.
In May, CPA CEO Michael Stumo wrote in The Washington Times that the “Biden administration should move swiftly to ensure that China’s ruling Communist Party can no longer fund its predatory agenda with Wall Street’s help.”