To deter Chinese aggression towards Taiwan by requiring the Secretary of the Treasury to publish a report on financial institutions and accounts connected to senior officials of the People’s Republic of China, to restrict financial services for certain immediate family of such officials, and for other purposes.
Sponsors
Legislative Progress
Passed HouseReceived; read twice and referred to the Committee on Banking, …
Passed House (inferred from eh version)
Reported from the Committee on Financial Services with an amendment
Committee on Foreign Affairs discharged; committed to the Committee of …
Mrs. McClain (for herself and Mr. Sherman) introduced the following …
Summary
What This Bill Does
The Taiwan Conflict Deterrence Act of 2025 creates a financial pressure mechanism to deter Chinese aggression against Taiwan. If the President determines that China poses a threat to Taiwan under the Taiwan Relations Act, the bill triggers mandatory disclosure of financial assets held by top Chinese Communist Party officials and bars them from accessing the US financial system.
Who Benefits and How
Taiwan benefits from this deterrence mechanism, as threatening the personal wealth of CCP leaders creates a powerful disincentive for military action. Anti-corruption advocates benefit from unprecedented transparency into the hidden wealth of Chinese officials. Financial institutions outside US jurisdiction may see increased business as covered individuals seek alternative banking.
Who Bears the Burden and How
Senior Chinese Communist Party officials (Politburo Standing Committee, Politburo, and Central Committee members) face exposure of their personal wealth and loss of access to US financial services. Their immediate family members face the same restrictions. US banks and financial institutions must implement compliance systems to identify and block transactions with covered individuals, creating operational costs. Banks serving wealthy Chinese clients may lose revenue. The Treasury Department bears the burden of investigating and reporting on CCP officials' assets.
Key Provisions
- Treasury must report on financial assets of at least 10 senior CCP officials within 90 days of a Taiwan threat determination, with annual updates for 3 years
- Reports must identify both the officials' assets and the financial institutions holding them
- US financial institutions are prohibited from transacting with covered officials and their immediate families
- Violations carry IEEPA penalties (up to ,000 per violation and criminal prosecution)
- Reports must be published publicly in English, Chinese, and other languages on Treasury's website
- The President can issue waivers for national security purposes or if the threat ends
Evidence Chain:
This summary is derived from the structured analysis below. See "Detailed Analysis" for per-title beneficiaries/burden bearers with clause-level evidence links.
Primary Purpose
To deter Chinese aggression against Taiwan by requiring disclosure of financial assets held by top Chinese Communist Party officials and prohibiting US financial institutions from transacting with them upon a Presidential determination of a Taiwan-related threat.
Policy Domains
Legislative Strategy
"Leverage financial transparency and access restrictions to deter Chinese aggression by threatening the personal wealth of top CCP officials"
Likely Beneficiaries
- Taiwan (national security)
- US national security interests
- Transparency advocates and anti-corruption organizations
- Competing financial institutions outside US jurisdiction (may gain business from restricted entities)
Likely Burden Bearers
- Chinese Communist Party officials (Politburo Standing Committee, Politburo, and Central Committee members)
- Immediate family members of covered CCP officials
- US financial institutions (compliance burden to identify and block transactions)
- Foreign financial institutions doing business with covered individuals
- Department of the Treasury (reporting and enforcement burden)
Bill Structure & Actor Mappings
Who is "The Secretary" in each section?
- "the_president"
- → President of the United States
- "the_secretary"
- → Secretary of the Treasury
- "the_president"
- → President of the United States
- "the_secretary"
- → Secretary of the Treasury
Key Definitions
Terms defined in this bill
Speaker and minority leader of the House, majority and minority leaders of the Senate, Chairmen and Ranking Members of House Financial Services and Senate Banking Committees
A United States financial institution or a foreign financial institution
As defined in section 561.308 of title 31, Code of Federal Regulations
As defined by the Secretary of the Treasury
Spouse, father, mother, children, brothers, sisters, grandchildren, and in-laws of the spouse
As defined under section 561.309 of title 31, Code of Federal Regulations
We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.
Learn more about our methodology