Protecting American Intellectual Property Act of 2022
Jan 5, 2023
Statute: 136 Stat. 6147
Became law: Jan 5, 2023
Jan 5, 2023
Statute: 136 Stat. 6147
Became law: Jan 5, 2023
Summary
Allows the President to punish foreign people and companies that steal important business secrets from American persons, which harms U.S. security and the economy.
What problem does this solve?
Foreign entities stealing valuable trade secrets from U.S. companies can threaten national security and economic stability without facing strong consequences. This law creates a system to identify and punish these foreign actors with serious financial and travel restrictions.
What does this law do?
Requires reports on foreign trade secret theft
Directs the President to report to Congress every year, identifying foreign individuals and companies that have stolen or benefited from stealing important U.S. trade secrets.
Authorizes sanctions on foreign entities
Requires the President to impose at least five sanctions from a list of options on foreign companies identified as stealing trade secrets. These include blocking property and banning business with the U.S.
Imposes sanctions on foreign individuals
Mandates blocking the property of foreign individuals involved in trade secret theft and makes them ineligible to receive a U.S. visa or enter the country.
Allows for a national interest waiver
Permits the President to skip imposing sanctions on a person if it is determined to be in the national interest of the United States, but Congress must be notified.
Who does this affect?
- U.S. businesses and inventors
- Foreign individuals and companies
- U.S. government agencies
What is the real world impact?
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Protects U.S. businesses from foreign theft
Creates strong penalties to discourage foreign companies and individuals from stealing valuable trade secrets. This helps American businesses compete fairly and protects jobs.
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Strengthens national security
Prevents sensitive technology and information, which could be used against the U.S., from being stolen by foreign adversaries.
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Grants broad sanctioning power to the President
Gives the President significant authority to impose a wide range of sanctions, which could be used as leverage in international trade and diplomatic negotiations. Critics might argue this power is too broad or could be applied inconsistently.
When does this start?
This law takes effect immediately, with the first report on foreign trade secret theft due within 180 days.
First report on offenders
The President must submit the first report identifying foreign persons involved in trade secret theft no later than 180 days after the law's enactment.
Annual reporting requirement
After the first report, the President must submit a new report to Congress at least once every year.