Trade Crimes Act Reintroduced

A bipartisan group of lawmakers has reintroduced legislation aimed at combating trade crimes committed by companies based in the People's Republic of China (PRC) that violate U.S. trade laws and harm American workers and businesses. The Protecting American Industry and Labor from International Trade Crimes Act seeks to establish a new task force within the U.S. Department of Justice (DOJ) to investigate and prosecute trade-related offenses.

Key Provisions of the Bill

The Protecting American Industry and Labor from International Trade Crimes Act includes several critical measures:

• Creation of a DOJ Task Force: A specialized unit within the DOJ's Criminal Division will focus on investigating and prosecuting trade-related crimes.

• Enhanced Enforcement Capabilities: The DOJ will expand investigations, train federal and local law enforcement on trade-related offenses, and conduct parallel criminal and civil enforcement actions.

• Annual Congressional Report: The Attorney General will be required to submit an annual report to Congress detailing the DOJ’s efforts in prosecuting trade crimes and utilizing allocated funds.

• Funding Authorization for FY2026: The bill provides resources with oversight to ensure effective implementation.

Legislative and Industry Support

Lawmakers emphasized the necessity of holding China accountable for violating U.S. trade laws, including fraud, duty evasion, and transshipment. These practices, they argue, unfairly benefit China's state-controlled economy at the expense of American businesses and workers.

“This bipartisan legislation sends a strong message, in one voice, that the Chinese Communist Party must end its illegal trade practices now,” said Ranking Member Krishnamoorthi. “From violating the Uyghur Forced Labor Prevention Act to flooding the American market with dumped goods, this economic aggression has gone unchecked for too long.”

Congresswoman Ashley Hinson emphasized the bill’s alignment with previous enforcement efforts, stating, “American workers have felt pain for far too long because of Communist China’s malfeasance—now it’s time for Communist China to face consequences.”

Industry leaders and labor organizations have also voiced strong support for the legislation. Scott Paul, President of the Alliance for American Manufacturing (AAM), called the bill “sorely needed and long overdue,” adding that customs fraud and trade crimes have severely harmed domestic industries.

Kevin Dempsey, President and CEO of the American Iron and Steel Institute, echoed these concerns, stating, “For too long, China has circumvented U.S. trade laws through fraud, transshipment, and duty evasion. This bill will ensure that criminal activities aimed at evading U.S. customs and trade laws are appropriately prosecuted.”

The bill has also received endorsements from major trade and labor organizations, including the United Steelworkers, AFL-CIO, Campaign for Uyghurs, the American Mold Builders Association, and the Coalition for a Prosperous America.

Originally introduced in the 118th Congress, the legislation previously passed unanimously in the U.S. House of Representatives. Supporters hope for a similar outcome in the current session .

Sponsorship

The legislation, spearheaded by Select Committee Ranking Member Raja Krishnamoorthi (D-IL), Congresswoman Ashley Hinson (R-IA), Chairman John Moolenaar (R-MI), and Congressman Ted Lieu (D-CA), has garnered bipartisan and bicameral support. It is co-led by Reps. Glenn Ivey (D-MD), Rosa DeLauro (D-CT), Deborah Ross (D-NC), and Haley Stevens (D-MI), among others, bringing together lawmakers from both parties in a united effort to tackle unfair trade practices.