[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4278 Introduced in House (IH)]

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119th CONGRESS
  1st Session
                                H. R. 4278

 To improve protections with respect to foreign regulation for certain 
 entities integral to the national interests of the United States, and 
                          for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              July 2, 2025

Mr. Fitzgerald introduced the following bill; which was referred to the 
                       Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
 To improve protections with respect to foreign regulation for certain 
 entities integral to the national interests of the United States, 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 ``Protect U.S. Companies from Foreign 
Regulatory Taxation Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The ability of citizens of the United States to engage 
        in international commerce is a fundamental policy concern of 
        the United States.
            (2) Entities in the digital sector contribute significantly 
        to the prosperity of the United States and the growth of the 
        world economy.
            (3) The United States has a strategic advantage in the 
        responsible development and deployment of artificial 
        intelligence and other critical and emerging technologies.
            (4) Investments in digital infrastructure and innovation by 
        the United States are a critical extension of the influence and 
        leadership of the United States abroad.
            (5) Digital innovation in the United States drives economic 
        growth, streamlines government efficiency, and promotes job 
        creation.
            (6) The national security of the United States is 
        strengthened when United States technology is the backbone of 
        the digital services of the world.
            (7) United States leadership with respect to technology is 
        under threat due to the proliferation of foreign regulations 
        that target companies from the United States and seek to make 
        United States digital services less competitive.
            (8) Restrictions, particularly restrictions adopted 
        unilaterally by foreign countries, that are substantially 
        different from restrictions applied by the United States and 
        that unreasonably hinder the ability of entities integral to 
        the national interests of the United States to pursue 
        commercial activities can have serious adverse effects on 
        employment, economic stability, scientific progress, and 
        international trade, with the potential to impede domestic and 
        foreign policy goals.
            (9) The United States has an essential security interest in 
        protecting the safety of the citizens of the United States, 
        securing supply chains for strategically significant industries 
        and infrastructure, and ensuring that industrial sectors 
        related to national security are protected from the influence 
        and control of malign foreign entities.

SEC. 3. PROTECTIONS WITH RESPECT TO FOREIGN REGULATION.

    (a) Prohibition.--No judgment against an entity integral to the 
national interests of the United States by a court or agency of a 
foreign government with respect to a foreign digital market regulation 
may be recognized or enforced by any Federal or State court or agency 
unless otherwise provided for in an Act of Congress.
    (b) Actions by President.--
            (1) In general.--The President is authorized to take any 
        action the President determines is in the public interest to 
        protect an entity integral to the national interests of the 
        United States from an adverse action by a court or agency of a 
        foreign government with respect to a foreign digital market 
        regulation.
            (2) Determination of public interest.--In determining under 
        paragraph (1) whether an action is in the public interest, the 
        President shall consider the impact of the relevant adverse 
        action on--
                    (A) consumers and businesses in the United States;
                    (B) the economic and technological security of the 
                United States; and
                    (C) the foreign relations of the United States, 
                including existing international commitments.

SEC. 4. DEFINITIONS.

    In this Act:
            (1) Core platform service.--The term ``core platform 
        service'' has the meaning given such term in article 2 of 
        chapter I of the Digital Markets Act.
            (2) Digital markets act.--The term ``Digital Markets Act'' 
        means--
                    (A) regulation (EU) 2022/1925 of the European 
                Parliament and of the Council of 14 September 2022 on 
                contestable and fair markets in the digital sector and 
                amending Directives (EU) 2019/1937 and (EU) 2020/1828 
                (Digital Markets Act); and
                    (B) any successor to such regulation.
            (3) End-user.--The term ``end-user'' has the meaning given 
        such term in section 301 of the Comprehensive Iran Sanctions, 
        Accountability, and Divestment Act of 2010 (22 U.S.C. 8541).
            (4) Entity integral to the national interests of the united 
        states.--The term ``entity integral to the national interests 
        of the United States'' means any entity--
                    (A) that--
                            (i) does business with the Federal 
                        Government, including through Federal contract 
                        awards or leases;
                            (ii) is organized under the laws of a 
                        State;
                            (iii) provides a core platform service; and
                            (iv) is required to comply with 
                        requirements under a foreign digital market 
                        regulation; or
                    (B) that the President otherwise determines is 
                integral to the national interests of the United 
                States.
            (5) Foreign digital market regulation.--
                    (A) In general.--The term ``foreign digital market 
                regulation'' means any law, regulation, or other legal 
                instrument adopted by a foreign government that 
                requires an entity to--
                            (i) provide interoperability with respect 
                        to any operating systems of such entity;
                            (ii) disclose information protected under 
                        the laws of the United States, including with 
                        respect to intellectual property rights, 
                        proprietary algorithms, or trade secret 
                        protections;
                            (iii) restrict the use of personal data 
                        lawfully collected under the laws of the United 
                        States, including if collected for the purpose 
                        of providing online advertising services;
                            (iv) provide sensitive data to third 
                        parties, including ranking, query, click, and 
                        view data related to free and paid searches 
                        generated by end-users or any other customer 
                        data;
                            (v) promote rival entities by prohibiting 
                        the entity from giving more favorable treatment 
                        to the services and products of the entity as 
                        compared to equivalent services and products 
                        offered by rival entities;
                            (vi) ensure that rival entities are 
                        permitted to communicate with users, promote 
                        offers, and conclude contracts through channels 
                        other than channels controlled by the entity, 
                        including in relation to users acquired via the 
                        services of the entity;
                            (vii) provide for data portability, limit 
                        marketing, or limit competitive pricing 
                        measures; or
                            (viii) cease ordinary business operations 
                        without a finding of fault or a demonstration 
                        of immediate and irreparable harm by an 
                        authorized adjudicatory body.
                    (B) Exception.--The term ``foreign digital market 
                regulation'' does not apply to any law, regulation, or 
                other legal instrument that is substantively similar to 
                a law, regulation, or other legal instrument 
                established by an Act of Congress.
                    (C) Inclusion.--The term ``foreign digital market 
                regulation'' includes the Digital Markets Act.
            (6) State.--The term ``State'' means each State of the 
        United States, the District of Columbia, and each territory or 
        possession of the United States.
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