The first few months of the 118th Congress have been off to a productive and busy start. Since my last column, Committee assignments have been finalized, and I’ve got some new responsibilities this Congress. I will continue serving on the House Financial Services Committee and will now be leading the Subcommittee on National Security, Illicit Finance and International Financial Institutions as Chairman. I termed out as Chairman of the Financial Institutions and Consumer Protections Subcommittee, but I will remain on that subcommittee and the Housing and Insurance Subcommittee. I’ll also be serving on the House Small Business Committee and have been chosen to serve on the Select Committee on the Chinese Communist Party (CCP), where our work will intersect nicely with my new Subcommittee Chairmanship.
I’m looking forward to our work on the National Security Subcommittee as we have jurisdiction over all financial matters related to the national security interests of the United States — including sanctions, CFIUS, financial intelligence, money laundering and international financial institutions like the IMF and World Bank. And very importantly, we oversee the U.S. economic response to China, who is undoubtedly our biggest international threat. As we saw with the pandemic, relying on any foreign government — especially one with such corrupt leaders — is a massive threat to our national security. For decades now, we’ve allowed Chinese companies to access our capital markets while stealing our intellectual property and ignoring our laws. U.S. companies have also partnered with the CCP to invest billions of dollars into the Chinese economy. This all needs to stop.
Our first full committee hearing in the House Financial Services Committee was “Combatting the Threat from China” and our first markup included several, bipartisan China-related bills. In our markup, we addressed the need to disincentivize Chinese aggression toward Taiwan by publishing top Chinese leaders’ assets; pushed for Taiwan’s membership at the IMF and greater transparency in China’s exchange rate disclosures; and a bill to require the Treasury Secretary to report on global economic risks emanating from the Chinese financial sector — to name a few. I have also introduced a bill since then to prohibit the use of the Chinese Central Bank Digital Currency, also known as the Digital Yuan, by U.S. licensed money service businesses. Clear barriers to prevent the CCP from monitoring the transactions and collecting the financial data of American consumers and businesses need to be established, and this bill is a necessary step to do that. I’m very pleased my colleagues from both sides of the aisle share my view that this threat needs immediate addressing, and that we’re already working to do that.
My work on the National Security Subcommittee coordinates perfectly with my role on the Select Committee on the CCP. Speaker McCarthy and Minority Leader Jeffries have populated the committee with knowledgeable people from both sides of the aisle in every jurisdiction it touches. My role focuses on Chinese investments in the U.S. and American investments in China. For too long the CCP has been able to access and use American dollars to help fund its human rights abuses and military operations. In our first Select Committee hearing, we heard incredible testimony from Ms. Tong Yi, a human rights advocate who spent four years in a Chinese “reeducation through labor” for speaking out against the regime. Hearing firsthand about her horrific experience — and having it broadcasted on national television — shed even more light on what is really going on in China and made the case for getting out of business with them that much stronger. Because the Select Committee won’t be writing legislation — just presenting policy proposals to address specific problems — it will be up to the committees of jurisdiction to write and move the bills. I fully intend to do that with the National Security Subcommittee.
As we saw with the spy balloon that flew right over Missouri, China is becoming increasingly emboldened. That balloon sent a clear message that the CCP is not afraid of our military, our government, or letting the American people know they’re watching. When dealing with the second-largest economy in the world, our economic response is just as necessary and powerful as our military might.
While my committee assignments and the United States’ current geopolitical situation demand that I spend more time on China than in the past, I assure you it is in addition to — not instead of — my continued efforts on more traditional banking issues, particularly the CFPB. With multiple court rulings, including the Supreme Court’s decision on the CFPB’s funding mechanism, on the horizon, the Committee will be heavily focused on reforming the Bureau. In fact, we have already had our first Financial Institutions Subcommittee hearing on needed reforms. I look forward to discussing our proposals with MIBA members and getting your feedback.
