(1) GOP TO PUSH ECONOMIC BREAKAWAY FROM CHINA: Sen. James Risch (R-ID) said Congress has “failed to act in several areas” to counter the Chinese Communist Party (CCP), and Republicans will push to pass his STRATEGIC Act if they take the Senate in 2025.
The STRATEGIC Act would strengthen enforcement of the Foreign Agents Registration Act (FARA), establish the Global Infrastructure Investment Fund to counter China’s Belt and Road Initiative, and encourage U.S. companies to diversify supply chains away from China.
Why It Matters: U.S. officials and lawmakers anticipate a crisis or conflict with China by 2027, and currently U.S. supply chains are vulnerable to disruption. While this bill intends to secure critical supply chains against disruption due to a crisis or conflict, moving U.S. manufacturing and imports away from China could be interpreted by China as preparation for a conflict, ratcheting up tensions ahead of 2027. A recent bipartisan report on the National Defense Strategy found the U.S. is ill-prepared for a conflict with China. The window for deterring a conflict or crisis in the Indo-Pacific is closing due to Chinese military advantage in the region, and the Chinese cyber threat to U.S. critical infrastructure. – R.C.
