[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3197 Introduced in House (IH)]
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119th CONGRESS
1st Session
H. R. 3197
To amend the Financial Stability Act of 2010 to establish an Advisory
Committee on Economic Fallout From Chinese Military Aggression Towards
Taiwan, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 5, 2025
Mr. Nunn of Iowa (for himself, Mr. Torres of New York, and Mrs. Kim)
introduced the following bill; which was referred to the Committee on
Financial Services
_______________________________________________________________________
A BILL
To amend the Financial Stability Act of 2010 to establish an Advisory
Committee on Economic Fallout From Chinese Military Aggression Towards
Taiwan, and for other purposes.
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 ``Fortifying U.S. Markets From Chinese
Military Aggression Act''.
SEC. 2. ADVISORY COMMITTEE ON ECONOMIC FALLOUT FROM CHINESE MILITARY
AGGRESSION TOWARDS TAIWAN.
Section 111 of the Financial Stability Act of 2010 (12 U.S.C. 5321)
is amended by adding at the end the following:
``(k) Advisory Committee.--
``(1) Establishment.--There is established the Financial
Stability Oversight Council Advisory Committee on Economic
Fallout From Chinese Military Aggression Towards Taiwan (the
`Advisory Committee') to--
``(A) study and report on the market implications
and vulnerabilities related to Chinese military
aggression towards Taiwan; and
``(B) open lines of communication between policy
makers, government agencies, and capital market
constituents to prepare for a potential response to,
and to mitigate economic strain and market volatility
related to, Chinese aggression in Taiwan.
``(2) Members.--
``(A) In general.--The Advisory Committee shall
consist of--
``(i) a designee of the Commission;
``(ii) a designee of the Commodity Futures
Trading Commission; and
``(iii) 10 members to be appointed by the
Council from among persons who are--
``(I) capital markets participants,
including market makers, asset
managers, exchanges, and institutional
investors; or
``(II) experts on geopolitical risk
related to China.
``(B) Chair.--The Chair of the Advisory Committee
shall be a market maker appointed under subparagraph
(A)(iii).
``(3) Meetings.--The Advisory Committee shall meet in
person at least 2 times per year, with additional meetings at
the call of the Chair.
``(4) Annual study and report on the recommendations of the
advisory committee.--The Advisory Committee shall, annually--
``(A) carry out a study on the market implications
and vulnerabilities related to Chinese military
aggression towards Taiwan;
``(B) develop recommendations and supporting
analysis based on the results of the study; and
``(C) hold a public meeting to present the
recommendations and analysis to the Council, but with
any portions of such recommendations and analysis that
implicate national security concerns presented in a
closed session.
``(5) Permanent status.--The termination provision under
section 1013 of title 5, United States Code, shall not apply to
the Advisory Committee.
``(l) Annual Report.--The Council shall issue an annual public
report, after analyzing the recommendations and analysis of the
Advisory Committee provided under subsection (k)(4), detailing the
following:
``(1) Market vulnerabilities related to Chinese aggression
in Taiwan, including--
``(A) the safety and soundness of the United States
banking and financial systems;
``(B) market impact and potential losses faced by
United States and global markets;
``(C) the capacity of United States markets to deal
with extreme volatility that could result from
aggression, i.e. trading halts, circuit breakers, and
other tools for managing liquidity;
``(D) the impact on Chinese and Taiwanese listings
in the United States;
``(E) the likelihood, and potential impact of,
China reducing, or eliminating, its holding in United
States Treasuries; and
``(F) the estimated total costs to the United
States economy from Chinese military aggression towards
Taiwan.
``(2) Recommendations and action items for regulators to
make United States capital markets more resilient against
market shocks, volatility, and dislocation described under
paragraph (1), including with respect to--
``(A) the United States Government's coordination
and response;
``(B) ideas for government action to limit the
market impacts of a blockade or invasion of Taiwan;
``(C) potential retaliatory actions by China and
the potential response of the United States;
``(D) collaboration and testing of trade halt rules
and circuit breakers across markets; and
``(E) avenues for further regulator engagement with
capital markets participants on the topic.''.
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