H.R. 4279 — PROTECT USA Act of 2025

This section states congressional findings concerning (1) the fundamental U.S. policy interest in citizens' ability to engage in international commerce, (2) the contributions of extractive and manufacturing sectors to U.S. prosperity and the world economy, (3) the importance of maintaining or increasing access to supplies and materials from extractive sectors (i.e., agriculture, energy, mining, and timber) and manufacturing for economic development, and (4) the adverse effects of unilateral foreign restrictions on U.S. entities' commercial activities.

This section establishes definitions for use in the Act. Such definitions include—(1) "entity integral to the national interests of the United States," meaning businesses that do business with the federal government (including via contracts or leases); are organized under U.S. laws and derive at least 25% of revenue from extraction or production of raw materials (e.g., biomass, fossil fuels, mining) or from manufacturing activities, or are engaged in national defense production or critical mineral activities; or are otherwise identified by the President; (2) "critical mineral," meaning any mineral identified as critical under section 7002(a) of the Energy Act of 2020 (30 U.S.C. 1606(a)) or any fuel mineral (including fossil fuels and by-products); and (3) "foreign sustainability due diligence regulation," generally meaning foreign laws requiring assessment of environmental or social impacts, mitigation actions, and reporting (excluding those substantively similar to U.S. laws), specifically including the EU's Corporate Sustainability Due Diligence Directive and related measures.

This section prohibits any entity integral to the national interests of the United States from complying with foreign sustainability due diligence regulations, except for actions required by U.S. statute or undertaken in the ordinary course of business. It establishes a hardship relief process allowing such entities to petition the President for an exemption, which the President must grant or deny in writing within 30 days of receipt—considering factors including impacts on domestic value chains for essential products, local or regional economic and employment effects, consequences to U.S. interests, and divestment feasibility—with any granted exemption subject to presidential conditions.

This section prohibits any person from taking adverse action against an entity integral to the national interests of the United States for action or inaction related to a foreign sustainability due diligence regulation (i.e., a regulation requiring due diligence on sustainability issues such as human rights and environmental impacts in supply chains). It further bars U.S. courts and state courts from recognizing any foreign court judgment against such an entity related to a foreign sustainability due diligence regulation, unless provided by an Act of Congress. For enforcement, the section (1) directs the President to take actions determined to be in the public interest to protect such entities, considering impacts on U.S. consumers and businesses, economic, energy, and environmental security, and foreign relations (including international commitments); (2) authorizes any aggrieved such entity to bring a civil action in federal district court, with prevailing plaintiffs eligible for equitable or declaratory relief, punitive damages up to $1,000,000, attorney fees and costs, compensatory damages (including amounts paid under the foreign regulation), and other appropriate relief; and (3) subjects violators to civil penalties of up to $1,000,000 and, at the President's discretion, ineligibility to bid on federal awards or contracts for up to three years.