Rep. Kennedy Introduces Legislation to Crack Down on Chinese Intellectual Property Theft

Washington, D.C. – Congressman Mike Kennedy (UT-03) introduced the Combatting China’s Pilfering of Intellectual Property (CCP IP) Act alongside Senator Curtis (UT) to protect American innovators by imposing sanctions on Chinese individuals, companies, and organizations engaged in intellectual property (IP) theft. The legislation strengthens U.S. authority to block assets, deny visas, and increase diplomatic pressure on the Chinese Communist Party to end its state-directed campaign to steal and replicate protected American technologies.

“Utah is home to world-class innovators, from startups to global firms whose ideas power our economy. When foreign actors steal those ideas, they aren’t just taking technology; they’re taking jobs, investment, and the future prosperity of our communities,” said Congressman Mike Kennedy. This bill puts real consequences on those who steal American IP and sends a clear message: Utah’s creators and America’s entrepreneurs will be protected.” 

Background:

The Federal Bureau of Investigation (FBI) has found the annual cost to the U.S. economy of counterfeit goods, pirated software, and theft of trade secrets to be between $225 billion and $600 billion. The FBI has also asserted that China is the “world’s principal infringer of intellectual property,” and that it “uses its laws and regulations to put foreign companies at a disadvantage and its own companies at an advantage.”

FBI Agent David Fitzgibbons, who covers national security breaches in Idaho, Montana, and Utah, has warned that the greatest long-term threat in the United States, including Utah, is the CCP. “[The Chinese Communist Party] have a motto of rob, replicate and replace,” Fitzgibbons said. “They want to steal our trade secrets when it comes to our economy. With our corporations, they want to replicate and eventually replace us in the global marketplace.”

To address these economic and national security concerns, the CCP IP Act would:

• Impose sanctions on any person or entity determined to have engaged in a pattern of significant IP theft from a U.S. person or to have received stolen U.S. IP knowingly.
• Impose broad visa and immigration restrictions on CCP and government officials until the Chinese government takes meaningful steps to stop IP theft. U.S. visas would be denied to:
  • Senior officials of the CCP and their spouses and children
  • Members of China’s cabinet of government
  • Active-duty officers in the People’s Liberation Army
• Impose penalties on anyone who attempts or conspires to violate sanctions.

Senator Curtis is leading a version of this legislation in the Senate.

Read the full bill text here.