Bill Summary
The "Neutralizing Unfair Chinese Export Subsidies Act of 2025" is a proposed legislation aimed at addressing concerns about China's compliance with international export credit standards established by the OECD. The bill outlines a strategy for the U.S. Secretary of the Treasury to collaborate with international allies to ensure China adheres to these standards and to negotiate the elimination of unfair export subsidies. The legislation emphasizes the need for regular negotiations, at least twice a year, and requires the Treasury to assess China's currency exchange rate practices in relation to its obligations under the International Monetary Fund (IMF). Additionally, if the Secretary determines that China is manipulating its currency, the U.S. will oppose any increase in China's IMF quota for a year. This act seeks to level the playing field for U.S. businesses by promoting fair trade practices.
Possible Impacts
The "Neutralizing Unfair Chinese Export Subsidies Act of 2025" could affect people in the following ways:
1. **Impact on Domestic Jobs:**
By advocating for increased compliance from China with OECD export credit standards, this legislation aims to reduce unfair competition from Chinese firms that benefit from government subsidies. If successful, it could level the playing field for American businesses, potentially leading to job preservation or growth in sectors adversely affected by Chinese exports. Workers in industries such as manufacturing and agriculture might see more stable employment as domestic products become more competitive.
2. **Changes in Consumer Prices:**
If the legislation leads to reduced Chinese export subsidies, it could result in higher prices for certain imported goods from China. Consumers may experience increased costs for products that previously benefited from these subsidies. This could particularly impact low- and middle-income families, who may rely on more affordable imported goods for their daily needs.
3. **International Relations and Diplomacy:**
The act emphasizes working with allies to address trade imbalances and enforce compliance with international standards. This could strengthen diplomatic ties with other nations and foster a collaborative approach to trade issues. On the flip side, if negotiations with China become contentious, it may lead to retaliatory measures or trade tensions, which could affect individuals engaged in international business or those reliant on imports from China.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4522 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 4522
To provide for working with allies to seek increased compliance by
China with certain OECD export credit standards.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
July 17, 2025
Mr. Nunn of Iowa introduced the following bill; which was referred to
the Committee on Financial Services
_______________________________________________________________________
A BILL
To provide for working with allies to seek increased compliance by
China with certain OECD export credit standards.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Neutralizing Unfair Chinese Export
Subsidies Act of 2025''.
SEC. 2. WORKING WITH ALLIES TO ENSURE CHINA'S COMPLIANCE WITH OECD
STANDARDS.
(a) In General.--Within 180 days after the date of the enactment of
this Act, the Secretary of the Treasury shall submit to the Committee
on Financial Services of the House of Representatives and the Committee
on Banking, Housing, and Urban Affairs of the Senate a detailed
strategy and timeline with respect to--
(1) strengthening United States advocacy and cooperation
with appropriate allies and partners to seek to ensure
substantial compliance by China with the financial terms and
conditions of the OECD Arrangement on Officially Supported
Export Credits; and
(2) the goal described in section 11(a)(1) of the Export-
Import Bank Reauthorization Act of 2012.
(b) International Negotiations on Export Subsidies.--
(1) In general.--Section 11(a)(1) of the Export-Import Bank
Reauthorization Act of 2012 (12 U.S.C. 635a-5(a)(1)) is amended
by striking ``with the possible goal of eliminating, before the
date that is 10 years after the date of the enactment of the
Export-Import Bank Reform and Reauthorization Act of 2015,''
and inserting ``with the goal of eliminating, before the date
that is 10 years after the date of the enactment of the
Neutralizing Unfair Chinese Export Subsidies Act of 2025''.
(2) Progress report.--Section 11(e) of such Act (12 U.S.C.
635a-5(e)) is amended by striking ``2019'' and inserting
``2029''.
(3) Conduct of negotiations.--Section 11 of such Act (12
U.S.C. 635a-5) is amended--
(A) in each of subsections (a) and (d), by striking
``The President'' and inserting ``The Secretary of the
Treasury, in consultation with the United States Trade
Representative,'';
(B) in subsection (a), by inserting ``, and
endeavor to hold not less frequently than twice per
year,'' before ``negotiations'';
(C) in each of subsections (b), (c), and (e), by
striking ``President'' each place it appears and
inserting ``Secretary of the Treasury''; and
(D) in subsection (d), by inserting ``, and
endeavor to hold such negotiations not less frequently
than twice per year'' before the period.
SEC. 3. EXCHANGE RATE GOVERNANCE AND INTERNATIONAL MONETARY FUND.
(a) In General.--In applying criteria to determine whether the
People's Republic of China has manipulated the rate of exchange between
its currency and the United States dollar, the Secretary of the
Treasury--
(1) shall take into account--
(A) compliance by the People's Republic of China
with its obligations under Article VIII of the Articles
of Agreement of the International Monetary Fund;
(B) the transparency of exchange rate management by
the People's Republic of China; and
(C) significant support by the government of the
People's Republic of China to particular economic
sectors that prevents effective balance of payments
adjustments; and
(2) may carry out the determination regardless of any
global current account surplus of the People's Republic of
China.
(b) Opposition to IMF Quota Increase.--During the one-year period
following a determination by the Secretary of the Treasury that the
People's Republic of China has manipulated the rate of exchange between
its currency and the United States dollar, the Secretary shall instruct
the United States Governor of the International Monetary Fund to use
the voice and vote of the United States to oppose any proposal to
increase the quota of the People's Republic of China in the Fund, other
than consent to an amendment to the Articles of Agreement of the Fund
that has been authorized by law.
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