H.R.1504 - China Trade Relations Act of 2025 (119th Congress)
Summary
H.R. 1504, the China Trade Relations Act of 2025, seeks to withdraw normal trade relations (NTR) treatment from the People's Republic of China (PRC). It aims to apply specific provisions of the Trade Act of 1974 and expand the bases of ineligibility for the PRC to receive NTR in the future. The bill cites concerns over human rights, trade practices, and national security.
Expected Effects
If enacted, the bill would likely increase tariffs on goods imported from China, potentially leading to higher prices for American consumers and businesses. It could also restrict US investment and credit guarantees to China. The bill also mandates increased scrutiny of China's human rights record and trade practices, requiring regular reports to Congress.
Potential Benefits
- Strengthens national security by reducing economic dependence on China.
- Protects American intellectual property by addressing economic espionage.
- Promotes human rights and labor standards within China.
- Potentially incentivizes China to improve its trade practices and adherence to international norms.
- Addresses concerns about forced labor and human rights abuses in Xinjiang and other regions.
Potential Disadvantages
- Could increase costs for American consumers due to higher tariffs on Chinese goods.
- May harm American businesses that rely on trade with China.
- Could strain diplomatic relations between the United States and China.
- May lead to retaliatory measures from China, impacting American exports.
- Could disrupt global supply chains and negatively impact the global economy.
Constitutional Alignment
The bill's focus on regulating commerce with foreign nations aligns with the powers granted to Congress under Article I, Section 8, Clause 3 of the Constitution (the Commerce Clause). The bill also touches upon foreign policy, which is generally within the purview of the executive branch, but Congress has a role in regulating trade and setting conditions for trade relations. The human rights considerations also align with broader constitutional values, although the Constitution primarily focuses on domestic rights.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).