H.R. 4361 — STOP China Act

This section expresses the sense of Congress that (1) the People's Republic of China (PRC) uses industrial policies to distort markets, achieve global dominance, and increase U.S. dependence on PRC imports; (2) adoption of PRC-developed technologies in certain U.S. vehicles poses national security risks and threatens U.S. competitiveness; (3) the PRC creates overcapacity and sells below-market products to undermine U.S. supply chains; (4) Congress must continue confronting the PRC's military-civil fusion strategy and transportation market intrusion, as in the National Defense Authorization Act for Fiscal Year 2020 (P.L. 116-92) and FAA Reauthorization Act of 2024 (P.L. 118-63); (5) U.S. taxpayer dollars should not fund PRC-subsidized vehicle manufacturing or technology companies; and (6) entities accepting federal funding must be prevented from procuring vehicles from PRC entities (or those legally or financially related to PRC corporations) or containing PRC vehicle technologies identified as national security concerns.

This section revises the prohibition in 49 U.S.C. §5323(u) on obligating Federal Transit Administration (FTA) funds (i.e., covered funding under chapter 53) for procurement of rolling stock (i.e., covered vehicles) produced or provided by covered entities or incorporating electric power trains from such entities, where covered entities include those headquartered in, owned or controlled by, or affiliated with covered nations (as defined in 10 U.S.C. §4872(d), generally including China, Russia, Iran, and North Korea). The revision (1) requires the U.S. Trade Representative, in consultation with the Attorney General and Transportation Secretary, to publish and update (every 90 days initially for 180 days, then annually) a public list of prohibited covered entities within 30 days of enactment; (2) applies the ban to contracts or subcontracts executed on or after enactment and to related fueling/charging infrastructure for post-enactment bus procurements; (3) provides exceptions for vehicle inspection, investigation, or safety research, development, or testing; and (4) grandfather existing eligible contracts until rolling stock delivery is complete. (Thus, FTA grantees may no longer use federal funds to procure prohibited vehicles or components after enactment, broadening prior restrictions limited to certain rail manufacturers.) The section also makes conforming changes to cross-references, clarifies applicability to non-federal-fund subcontracts, and adds a severability provision.

This section prohibits the Department of Transportation (DOT) from using appropriated funds—other than Federal Transit Administration funds under 49 U.S.C. chapter 53—to procure covered vehicles (i.e., buses, school buses, or ferries produced or provided by entities based in a covered nation, defined as China, Russia, Iran, or North Korea) or to construct, install, or maintain fueling or charging infrastructure for such buses procured on or after enactment. It directs the U.S. Trade Representative, in consultation with the Attorney General and Secretary of Transportation, to publish within 30 days of enactment and update a public list of covered entities producing such vehicles or electric power trains (every 90 days for the first 180 days, then annually); provides an exception for vehicle procurement or infrastructure for motor vehicle inspections, investigations, or safety research, development, or testing; and includes a severability clause.