Suspending Normal Trade Relations with Russia and Belarus Act
Floor Speech
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Mr. NEAL. Madam Speaker, I move to suspend the rules and pass the bill (H.R. 7108) to suspend normal trade relations treatment for the Russian Federation and the Republic of Belarus, and for other purposes.
The Clerk read the title of the bill.
The text of the bill is as follows: H.R. 7108
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE.
This Act may be cited as the ``Suspending Normal Trade Relations with Russia and Belarus Act''. SEC. 2. FINDINGS.
Congress finds the following:
(1) The United States is a founding member of the World Trade Organization (WTO) and is committed to ensuring that the WTO remains an effective forum for peaceful economic engagement.
(2) Ukraine is a sovereign nation-state that is entitled to enter into agreements with other sovereign states and to full respect of its territorial integrity.
(3) The United States will be unwavering in its support for a secure, democratic, and sovereign Ukraine, free to choose its own leaders and future.
(4) Ukraine acceded to the Marrakesh Agreement Establishing the World Trade Organization (WTO Agreement) and has been a WTO member since 2008.
(5) Ukraine's participation in the WTO Agreement creates both rights and obligations vis-a-vis other WTO members.
(6) The Russian Federation acceded to the WTO on August 22, 2012, becoming the 156th WTO member, and the Republic of Belarus has applied to accede to the WTO.
(7) From the date of its accession, the Russian Federation committed to apply fully all provisions of the WTO.
(8) The United States Congress authorized permanent normal trade relations for the Russian Federation through the Russia and Moldova Jackson-Vanik Repeal and Sergei Magnitsky Rule of Law Accountability Act of 2012 (Public Law 112-208).
(9) Ukraine communicated to the WTO General Council on March 2, 2022, urging that all WTO members take action against the Russian Federation and ``consider further steps with the view to suspending the Russian Federation's participation in the WTO for its violation of the purpose and principles of this Organization''.
(10) Vladimir Putin, a ruthless dictator, has led the Russian Federation into a war of aggression against Ukraine, which--
(A) denies Ukraine and its people their collective rights to independence, sovereignty, and territorial integrity;
(B) constitutes an emergency in international relations, because it is a situation of armed conflict that threatens the peace and security of all countries, including the United States; and
(C) denies Ukraine its rightful ability to participate in international organizations, including the WTO.
(11) The Republic of Belarus, also led by a ruthless dictator, Aleksander Lukashenka, is providing important material support to the Russian Federation's aggression.
(12) The Russian Federation's exportation of goods in the energy sector is central to its ability to wage its war of aggression on Ukraine.
(13) The United States, along with its allies and partners, has responded to recent aggression by the Russian Federation in Ukraine by imposing sweeping financial sanctions and stringent export controls.
(14) The United States cannot allow the consequences of the Russian Federation's actions to go unaddressed, and must lead fellow countries, in all fora, including the WTO, to impose appropriate consequences for the Russian Federation's aggression. SEC. 3. SUSPENSION OF NORMAL TRADE RELATIONS WITH THE RUSSIAN FEDERATION AND THE REPUBLIC OF BELARUS.
(a) Nondiscriminatory Tariff Treatment.--Notwithstanding any other provision of law, beginning on the day after the date of the enactment of this Act, the rates of duty set forth in column 2 of the Harmonized Tariff Schedule of the United States shall apply to all products of the Russian Federation and of the Republic of Belarus.
(b) Authority to Proclaim Increased Column 2 Rates.--
(1) In general.--The President may proclaim increases in the rates of duty applicable to products of the Russian Federation or the Republic of Belarus, above the rates set forth in column 2 of the Harmonized Tariff Schedule of the United States.
(2) Prior consultation.--The President shall, not later than 5 calendar days before issuing any proclamation under paragraph (1), consult with the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate regarding the basis for and anticipated impact of the proposed increases to rates of duty described in paragraph (1).
(3) Termination.--The authority to issue proclamations under this subsection shall terminate on January 1, 2024. SEC. 4. RESUMPTION OF APPLICATION OF HTS COLUMN 1 RATES OF DUTY AND RESTORATION OF NORMAL TRADE RELATIONS TREATMENT FOR THE RUSSIAN FEDERATION AND THE REPUBLIC OF BELARUS.
(a) Temporary Application of HTS Column 1 Rates of Duty.--
(1) In general.--Notwithstanding any other provision of law (including the application of column 2 rates of duty under section 3), the President is authorized to temporarily resume, for one or more periods not to exceed 1 year each, the application of the rates of duty set forth in column 1 of the Harmonized Tariff Schedule of the United States to the products of the Russian Federation, the Republic of Belarus, or both, if the President submits to Congress with respect to either or both such countries a certification under subsection (c) for each such period. Such action shall take effect beginning on the date that is 90 calendar days after the date of submission of such certification for such period, unless there is enacted into law during such 90-day period a joint resolution of disapproval.
(2) Consultation and report.--The President shall, not later than 45 calendar days before submitting a certification under paragraph (1)--
(A) consult with the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate; and
(B) submit to both such committees a report that explains the basis for the determination of the President contained in such certification.
(b) Restoration of Normal Trade Relations Treatment.--
(1) In general.--The President is authorized to resume the application of the rates of duty set forth in column 1 of the Harmonized Tariff Schedule of the United States to the products of the Russian Federation, the Republic of Belarus, or both, if the President submits to Congress with respect to either or both such countries a certification under subsection (c). Such action shall take effect beginning on the date that is 90 calendar days after the date of submission of such certification, unless there is enacted into law during such 90-day period a joint resolution of disapproval.
(2) Consultation and report.--The President shall, not later than 45 calendar days before submitting a certification under paragraph (1)--
(A) consult with the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate; and
(B) submit to both such committees a report that explains the basis for the determination of the President contained in such certification.
(3) Products of the russian federation.--If the President submits pursuant to paragraph (1) a certification under subsection (c) with respect to the Russian Federation and a joint resolution of disapproval is not enacted during the 90- day period described in that paragraph, the President may grant permanent nondiscriminatory tariff treatment (normal trade relations) to the products of the Russian Federation.
(4) Products of the republic of belarus.--If the President submits pursuant to paragraph (1) a certification under subsection (c) with respect to the Republic of Belarus and a joint resolution of disapproval is not enacted during the 90- day period described in that paragraph, the President may, subject to the provisions of chapter 1 of title IV of the Trade Act of 1974 (19 U.S.C. 2431 et seq.), grant nondiscriminatory tariff treatment (normal trade relations) to the products of the Republic of Belarus.
(c) Certification.--A certification under this subsection is a certification in writing that--
(1) specifies the action proposed to be taken pursuant to the certification and whether such action is pursuant to subsection (a)(1) or (b)(1) of this section; and
(2) contains a determination of the President that the Russian Federation or the Republic of Belarus (or both)--
(A) has reached an agreement relating to the respective withdrawal of Russian or Belarusian forces (or both, if applicable) and cessation of military hostilities that is accepted by the free and independent government of Ukraine;
(B) poses no immediate military threat of aggression to any North Atlantic Treaty Organization member; and
(C) recognizes the right of the people of Ukraine to independently and freely choose their own government.
(d) Joint Resolution of Disapproval.--
(1) Definition.--For purposes of this section, the term ``joint resolution of disapproval'' means only a joint resolution--
(A) which does not have a preamble;
(B) the title of which is as follows: ``Joint resolution disapproving the President's certification under section 4(c) of the Suspending Normal Trade Relations with Russia and Belarus Act.''; and
(C) the matter after the resolving clause of which is as follows: ``That Congress disapproves the certification of the President under section 4(c) of the Suspending Normal Trade Relations with Russia and Belarus Act, submitted to Congress on ___'', the blank space being filled in with the appropriate date.
(2) Introduction in the house of representatives.--During a period of 5 legislative days beginning on the date that a certification under subsection (c) is submitted to Congress, a joint resolution of disapproval may be introduced in the House of Representatives by the majority leader or the minority leader.
(3) Introduction in the senate.--During a period of 5 days on which the Senate is in session beginning on the date that a certification under subsection (c) is submitted to Congress, a joint resolution of disapproval may be introduced in the Senate by the majority leader (or the majority leader's designee) or the minority leader (or the minority leader's designee).
(4) Floor consideration in the house of representatives.--
(A) Reporting and discharge.--If a committee of the House to which a joint resolution of disapproval has been referred has not reported such joint resolution within 10 legislative days after the date of referral, that committee shall be discharged from further consideration thereof.
(B) Proceeding to consideration.--Beginning on the third legislative day after each committee to which a joint resolution of disapproval has been referred reports it to the House or has been discharged from further consideration thereof, it shall be in order to move to proceed to consider the joint resolution in the House. All points of order against the motion are waived. Such a motion shall not be in order after the House has disposed of a motion to proceed on a joint resolution with regard to the same certification. The previous question shall be considered as ordered on the motion to its adoption without intervening motion. The motion shall not be debatable. A motion to reconsider the vote by which the motion is disposed of shall not be in order.
(C) Consideration.--The joint resolution shall be considered as read. All points of order against the joint resolution and against its consideration are waived. The previous question shall be considered as ordered on the joint resolution to final passage without intervening motion except two hours of debate equally divided and controlled by the sponsor of the joint resolution (or a designee) and an opponent. A motion to reconsider the vote on passage of the joint resolution shall not be in order.
(5) Consideration in the senate.--
(A) Committee referral.--A joint resolution of disapproval introduced in the Senate shall be referred to the Committee on Finance.
(B) Reporting and discharge.--If the Committee on Finance has not reported such joint resolution of disapproval within 10 days on which the Senate is in session after the date of referral of such joint resolution, that committee shall be discharged from further consideration of such joint resolution and the joint resolution shall be placed on the appropriate calendar.
(C) Motion to proceed.--Notwithstanding Rule XXII of the Standing Rules of the Senate, it is in order at any time after the Committee on Finance reports the joint resolution of disapproval to the Senate or has been discharged from its consideration (even though a previous motion to the same effect has been disagreed to) to move to proceed to the consideration of the joint resolution, and all points of order against the joint resolution (and against consideration of the joint resolution) shall be waived. The motion to proceed is not debatable. The motion is not subject to a motion to postpone. A motion to reconsider the vote by which the motion is agreed to or disagreed to shall not be in order. If a motion to proceed to the consideration of the joint resolution of disapproval is agreed to, the joint resolution shall remain the unfinished business until disposed of.
(D) Debate.--Debate on the joint resolution of disapproval, and on all debatable motions and appeals in connection therewith, shall be limited to not more than 10 hours, which shall be divided equally between the majority and minority leaders or their designees. A motion to further limit debate is in order and not debatable. An amendment to, or a motion to postpone, or a motion to proceed to the consideration of other business, or a motion to recommit the joint resolution of disapproval is not in order.
(E) Vote on passage.--The vote on passage shall occur immediately following the conclusion of the debate on the joint resolution of disapproval and a single quorum call at the conclusion of the debate, if requested in accordance with the rules of the Senate.
(F) Rules of the chair on procedure.--Appeals from the decisions of the Chair relating to the application of the rules of the Senate, as the case may be, to the procedure relating to the joint resolution of disapproval shall be decided without debate.
(G) Consideration of veto messages.--Debate in the Senate of any veto message with respect to the joint resolution of disapproval, including all debatable motions and appeals in connection with such joint resolution, shall be limited to 10 hours, to be equally divided between, and controlled by, the majority leader and the minority leader or their designees.
(6) Procedures in the senate.--Except as otherwise provided in this subsection, the following procedures shall apply in the Senate to a joint resolution of disapproval to which this subsection applies:
(A) Except as provided in subparagraph (B), a joint resolution of disapproval that has passed the House of Representatives shall, when received in the Senate, be referred to the Committee on Finance for consideration in accordance with this subsection.
(B) If a joint resolution of disapproval to which this subsection applies was introduced in the Senate before receipt of a joint resolution of disapproval that has passed the House of Representatives, the joint resolution from the House of Representatives shall, when received in the Senate, be placed on the calendar. If this subparagraph applies, the procedures in the Senate with respect to a joint resolution of disapproval introduced in the Senate that contains the identical matter as the joint resolution of disapproval that passed the House of Representatives shall be the same as if no joint resolution of disapproval had been received from the House of Representatives, except that the vote on passage in the Senate shall be on the joint resolution of disapproval that passed the House of Representatives.
(7) Rules of the house of representatives and senate.--This subsection is enacted by Congress--
(A) as an exercise of the rulemaking power of the Senate and the House of Representatives, respectively, and as such are deemed a part of the rules of each House, respectively, but applicable only with respect to the procedure to be followed in that House in the case of legislation described in those sections, and supersede other rules only to the extent that they are inconsistent with such rules; and
(B) with full recognition of the constitutional right of either House to change the rules (so far as relating to the procedure of that House) at any time, in the same manner, and to the same extent as in the case of any other rule of that House. SEC. 5. COOPERATION AND ACCOUNTABILITY AT THE WORLD TRADE ORGANIZATION.
The United States Trade Representative shall use the voice and influence of the United States at the WTO to--
(1) condemn the recent aggression in Ukraine;
(2) encourage other WTO members to suspend trade concessions to the Russian Federation and the Republic of Belarus;
(3) consider further steps with the view to suspend the Russian Federation's participation in the WTO; and
(4) seek to halt the accession process of the Republic of Belarus at the WTO and cease accession-related work. SEC. 6. MODIFICATIONS TO AND REAUTHORIZATION OF SANCTIONS UNDER THE GLOBAL MAGNITSKY HUMAN RIGHTS ACCOUNTABILITY ACT WITH RESPECT TO HUMAN RIGHTS VIOLATIONS.
(a) Definitions.--Section 1262 of the Global Magnitsky Human Rights Accountability Act (subtitle F of title XII of Public Law 114-328; 22 U.S.C. 2656 note) is amended by striking paragraph (2).
(b) Sense of Congress.--
(1) In general.--The Global Magnitsky Human Rights Accountability Act (subtitle F of title XII of Public Law 114-328; 22 U.S.C. 2656 note) is amended by inserting after section 1262 (as amended by subsection (a)) the following new section: ``SEC. 1262A. SENSE OF CONGRESS.
``It is the sense of Congress that the President should establish and regularize information sharing and sanctions- related decisionmaking with like-minded governments possessing human rights and anti-corruption sanctions programs similar in nature to those authorized under this subtitle.''.
(2) Clerical amendment.--The table of contents in section 2(b) and in title XII of division A of the National Defense Authorization Act for Fiscal Year 2017 (Public Law 114-328) are each amended by inserting after the items relating to section 1262 the following: ``Sec. 1262A. Sense of Congress.''.
(c) Imposition of Sanctions.--
(1) In general.--Subsection (a) of section 1263 of the Global Magnitsky Human Rights Accountability Act (Subtitle F of title XII of Public Law 114-328; 22 U.S.C. 2656 note) is amended to read as follows:
``(a) In General.--The President may impose the sanctions described in subsection (b) with respect to any foreign person that the President determines, based on credible information--
``(1) is responsible for or complicit in, or has directly or indirectly engaged in, serious human rights abuse;
``(2) is a current or former government official, or a person acting for or on behalf of such an official, who is responsible for or complicit in, or has directly or indirectly engaged in--
``(A) corruption, including--
``(i) the misappropriation of state assets;
``(ii) the expropriation of private assets for personal gain;
``(iii) corruption related to government contracts or the extraction of natural resources; or
``(iv) bribery; or
``(B) the transfer or facilitation of the transfer of the proceeds of corruption;
``(3) is or has been a leader or official of--
``(A) an entity, including a government entity, that has engaged in, or whose members have engaged in, any of the activities described in paragraph (1) or (2) during the tenure of the leader or official; or
``(B) an entity whose property and interests in property are blocked pursuant to this section as a result of activities during the tenure of the leader or official;
``(4) has materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of--
``(A) an activity described in paragraph (1) or (2) that is conducted by a foreign person;
``(B) a person whose property and interests in property are blocked pursuant to this section; or
``(C) an entity, including a government entity, that has engaged in, or whose members have engaged in, an activity described in paragraph (1) or (2) conducted by a foreign person; or
``(5) is owned or controlled by, or has acted or been purported to act for or on behalf of, directly or indirectly, a person whose property and interests in property are blocked pursuant to this section.''.
(2) Consideration of certain information.--Subsection (c)(2) of such section is amended by striking ``violations of human rights'' and inserting ``corruption and human rights abuses''.
(3) Requests by congress.--Subsection (d)(2) of such section is amended--
(A) in subparagraph (A)--
(i) in the subparagraph heading, by striking ``Human rights violations'' and inserting ``Serious human rights abuse'';
(ii) by striking ``described in paragraph (1) or (2) of subsection (a)'' and inserting ``described in subsection (a) relating to serious human rights abuse''; and
(B) in subparagraph (B)--
(i) in the matter preceding clause (i), by striking ``described in paragraph (3) or (4) of subsection (a)'' and inserting ``described in subsection (a) relating to corruption or the transfer or facilitation of the transfer of the proceeds of corruption''; and
(ii) by striking ``ranking member of--'' and all that follows through the period at the end and inserting ``ranking member of one of the appropriate congressional committees.''.
(d) Reports to Congress.--Section 1264(a) of the Global Magnitsky Human Rights Accountability Act (subtitle F of title XII of Public Law 114-328; 22 U.S.C. 2656 note) is amended--
(1) in paragraph (5), by striking ``; and'' and inserting a semicolon;
(2) in paragraph (6), by striking the period at the end and inserting a semicolon; and
(3) by adding at the end the following:
``(7) a description of additional steps taken by the President through diplomacy, international engagement, and assistance to foreign or security sectors to address persistent underlying causes of serious human rights abuse and corruption in each country in which foreign persons with respect to which sanctions have been imposed under section 1263 are located; and
``(8) a description of additional steps taken by the President to ensure the pursuit of judicial accountability in appropriate jurisdictions with respect to those foreign persons subject to sanctions under section 1263 for serious human rights abuse and corruption.''.
(e) Repeal of Sunset.--
(1) In general.--Section 1265 of the Global Magnitsky Human Rights Accountability Act (subtitle F of title XII of Public Law 114-328; 22 U.S.C. 2656 note) is repealed.
(2) Clerical amendment.--The table of contents in section 2(b) and in title XII of division A of the National Defense Authorization Act for Fiscal Year 2017 (Public Law 114-328) are each amended by striking the items relating to section 1265.
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Mr. NEAL. Madam Speaker, I yield myself such time as I may consume.
Madam Speaker, yesterday morning, Congress heard directly from Ukrainian President Zelenskyy. He showed us the absolute horrors that Russia is inflicting on the Ukrainian people in full view of the world, and he pleaded for us to do more.
With the legislation that stands before us at this hour, we intend to answer his call. Ranking Member Brady and I have been united in our desire to end permanent normal trade relations with Russia. And I must say that Mr. Brady has been very consistent as we have discussed this legislation.
With the House passage of H.R. 7108 today, we will take that impactful step and place even greater economic pressure on Putin and his brutal regime. We must do everything in our power to hold Russia accountable for the atrocities it is committing hourly in the nation of Ukraine.
This is an unprovoked horror that the world is seeing. Our partners and allies are joining with us in this effort, taking similar steps to further isolate Putin and his regime from the rest of the civilized world.
I urge every single one of our colleagues today to support the Ukrainian people, punish Russia for its ruthless aggression, and vote to advance this measure.
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Mr. NEAL. Madam Speaker, I yield 2 minutes to the gentleman from Oregon (Mr. Blumenauer), the chairman of the Trade Subcommittee who has been a real leader on this issue.
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Mr. NEAL. Madam Speaker, I yield 2 minutes to the gentleman from Texas (Mr. Doggett), who has been a real leader on this issue as well.
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Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from Illinois (Mr. Danny K. Davis), who has had a longstanding interest in human rights.
Mr. DANNY K. DAVIS of Illinois. Madam Speaker, the Putin regime requires every strategy and every action that we can muster to put a stop to Russia and restore sanity to our world order.
Russia's aggressive and brutal behavior, brutal actions towards Ukraine is beyond what I call the pale. We have no other choice but to step in and put a stop to it.
Madam Speaker, I strongly support this resolution.
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Mr. NEAL. Madam Speaker, I yield 2 minutes to the gentleman from Pennsylvania (Mr. Brendan F. Boyle), a champion of human rights everywhere.
Mr. BRENDAN F. BOYLE of Pennsylvania. Madam Speaker, the world right now, not just Ukraine, but indeed the world, is engaged in a fight between democracy and autocracy. That is what is at stake on what is now the battlefields of Ukraine.
I was in Brussels 3 weeks ago at NATO, and I am proud to say I have never seen the West and the transatlantic alliance this united. Certainly, not since the days of the Cold War.
Madam Speaker, our trade policy must work in sync with our foreign policy. That is what we are doing here today by revoking this status on Russia as well as Belarus. I strongly support it. I am proud of the fact that the United States and other countries have acted so quickly, in just a matter of a few weeks, to put the strongest sanctions on Russia in American history.
We must do this, and we must do even more.
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Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from California (Ms. Pelosi), whose entire career has been consistently based on the advancement of human rights everywhere.
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Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from Florida (Ms. Wasserman Schultz), who has had a long history as a champion of human rights.
Ms. WASSERMAN SCHULTZ. Madam Speaker, I thank the gentleman for yielding.
I rise today to put the full force of the American people and this Congress behind dismantling the savage Kremlin war machine.
This legislation shows President Zelenskyy, Ukrainians, and the world that America will boldly confront Russia's savage attacks on the Ukrainian people. This bill also holds Belarus to account for its complicity in Russia's murderous aggression.
They each will learn what every tyrant must: If you invade another nation, normal trade within our global economy is over.
While President Biden marshals the free world to fiscally cripple Putin and his oligarchs, this Congress will also move to crush Russia's militarized economic might.
So this legislation also reviews Russia's and Belarus' access to the World Trade Organization, and it extends and strengthens the Global Magnitsky Human Rights Accountability Act, both of which will further clip Russia's economic wings.
The grisly, heartbreaking images President Zelenskyy showed us yesterday made clear that Russia must be punished. And with this legislation, the people of Ukraine and every global democracy can count on America to help make that happen.
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Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from Texas (Ms. Jackson Lee ) who has been a consistent champion of human rights.
Ms. JACKSON LEE. Madam Speaker, I thank Chairman Neal and Congressmen Doggett and Blumenauer for this important statement.
Slaughter is not a sufficient definition of what Putin and Putin's war is doing to the innocent Ukrainian people.
I rise in strong support of totally removing from them normal trade relations, as just a few weeks ago I was on the border of Lithuania and Belarus, where the 30 to 40,000 Russian troops were poised, poised, ready to move and to slaughter.
How outrageous, when babies are killed, when hospitals with pregnant women, when a mother who lost her life because her pelvis was crushed, her baby and herself died because of Putin.
They continue to slaughter. They continue to destroy historic places. They continue to destroy hospitals and government buildings, and they are not ceasing.
So glory to Ukraine. We must stand with them and realize that their fight is our fight. As we in the civil rights movement experienced the idea of lack of justice, we know that this does not even equate to the violence that Russia is putting forth. I support this legislation.
Ms. JACKSON LEE. Madam Speaker, I rise today in strong support of H.R. 7108, The Suspending Normal Trade Relations with Russia and Belarus Act. The Act takes decisive action to respond to Russia's continued unprovoked attacks on the people of Ukraine and holds Belarus accountable for its support for Russia's aggression. This legislation counters Russia's unconscionable actions and Belarus' complicity by suspending normal trade relations with Russia and Belarus.
This legislation includes additional provisions to expand the United States' trade tools to stop Russia's unacceptable and unjust war on Ukraine and to hold Belarus accountable for its involvement. Specifically, the bill:
Provides the President with time-limited authority to increase tariffs on products of Russia and Belarus, until January 1, 2024;
Requires the U.S. Trade Representative to use the voice and influence of the United States to seek suspension of Russia's participation in the World Trade Organization (WTO) and to halt Belarus' WTO accession and accession-related work; and
Provides the President with the authority to restore normal trade relations with Russia and Belarus if these countries have ceased their acts of aggression against Ukraine and other certain conditions are met. Congress has the authority to overrule such decision through a congressional disapproval process.
Since Vladimir Putin began this war, the United States has had a relentless and devastating economic response in the form of sanctions.
Even prior to this legislation, the United States has already carried out the following actions:
The connection to the U.S. financial system for Russia's largest financial institution, Sberbank, including 25 subsidiaries, has been severed by imposing correspondent and payable-through account sanctions. This action restricts Sberbank's access to transactions made in the dollar. Sberbank is the largest bank in Russia, holds nearly one-third of the overall Russian banking sector's assets, is heavily connected to the global financial system, and is systemically critical to the Russian financial system.
Russia's second largest financial institution, VTB Bank (VTB), including 20 subsidiaries, have been appropriately subject to full blocking sanctions. This action freezes all of VTB's assets touching the U.S financial system and prohibits U.S. persons from dealing with them. VTB holds nearly one-fifth of the overall Russian banking sector's assets, is heavily exposed to the U.S. and western financial systems and is systemically critical to the Russian financial system.
Full blocking sanctions also extend to the three other major Russian financial institutions: Bank Otkritie, Sovcombank OJSC, and Novikombank- and 34 subsidiaries. These sanctions freeze any of these institutions' assets touching the U.S financial system and prohibit U.S. persons from dealing with them. These financial institutions play a significant role in the Russian economy.
New debt and equity restrictions have been imposed on thirteen of the most critical major Russian enterprises and entities. This includes restrictions on all transactions in, provision of financing for, and other dealings in new debt of greater than 14 days maturity and new equity issued by thirteen Russian state-owned enterprises and entities: Sberbank, AlfaBank, Credit Bank of Moscow, Gazprombank, Russian Agricultural Bank, Gazprom, Gazprom Neft, Transneft, Rostelecom, RusHydro, Alrosa, Sovcomflot, and Russian Railways. These entities, including companies critical to the Russian economy with estimated assets of nearly $1.4 trillion, are no longer able to raise money through the U.S. market--a key source of capital and revenue generation, which limits the Kremlin's ability to raise money for its activity.
There are additional full blocking sanctions on Russian elites and their family members: Sergei Ivanov (and his son, Sergei), Nikolai Patrushev (and his son Andrey), Igor Sechin (and his son Ivan), Andrey Puchkov, Yuriy Solviev (and two real estate companies he owns), Galina Ulyutina, and Alexander Vedyakhin. This action includes individuals who have enriched themselves at the expense of the Russian state, and have elevated their family members into some of the highest position of powers in the country. It also includes oligarchs who sit atop Russia's largest financial institutions and are responsible for providing the resources necessary to support Putin's invasion of Ukraine. This action follows up on yesterday's action targeting Russian elites and their family members and cuts them off from the U.S. financial system, freezes any assets they hold in the United States and blocks their travel to the United States.
Costs on Belarus for supporting a further invasion of Ukraine by sanctioning 24 Belarusian individuals and entities, including targeting Belarus' military and financial capabilities by sanctioning two significant Belarusian state-owned banks, nine defense firms, and seven regime-connected official and elites have been enacted.
Sweeping restrictions have been implemented on Russia's military to strike a blow to Putin's military and strategic ambitions. This includes measures against military end users, including the Russian Ministry of Defense. Exports of nearly all U.S. items and items produced in foreign countries using certain U.S.-origin software, technology, or equipment will be restricted to targeted military end users. These comprehensive restrictions apply to the Russian Ministry of Defense, including the Armed Forces of Russia, wherever located.
Russia-wide restrictions to choke off Russia's import of technological goods critical to a diversified economy and Putin's ability to project power are also present. This includes Russia-wide denial of exports of sensitive technology, primarily targeting the Russian defense, aviation, and maritime sectors to cut off Russia's access to cutting-edge technology. In addition to sweeping restrictions on the Russian-defense sector, the United States government will impose Russia-wide restrictions on sensitive U.S. technologies produced in foreign countries using U.S.-origin software, technology, or equipment. This includes Russia-wide restrictions on semiconductors, telecommunication, encryption security, lasers, sensors, navigation, avionics and maritime technologies. These severe and sustained controls will cut off Russia's access to cutting edge technology.
Historical multilateral cooperation serves as a force multiplier in restricting more than $50 billion in key inputs to Russia--impacting far more than that in Russia's production. As a result of this multilateral coordination, the United States has provided an exemption for other countries that adopt equally stringent measures. Countries that adopt substantially similar export restrictions are exempted from new U.S. licensing requirements for items produced in their countries. The European Union, Australia, Japan, Canada, New Zealand and the United Kingdom, have already communicated their plans for parallel actions. This unprecedented coordination significantly expands the scope of restrictions on Russia. Further engagement with Allies and partners will continue to maximize the impact on Russia's military capabilities.
Madam Speaker, taking further action against both Russia and Belarus on the international stage is of the utmost necessity in showing our European allies that we are steadfast in our opposition to this bloody war. The Suspending Normal Trade Relations with Russia and Belarus Act does exactly that symbolically and literally, and I am confident it will play a role in ending this war.
It is for that reason, Madam Speaker, that I rise in strong support of the Suspending Normal Trade Relations with Russia and Belarus Act and urge my colleagues support for the Act.
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Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from Tennessee (Mr. Cohen) whose work on human rights is well known.
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Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from Maryland (Mr. Hoyer), our distinguished majority leader who, again, has been a consistent champion of human rights.
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Mr. NEAL. Madam Speaker, I yield myself such time as I may consume.
Madam Speaker, as I close, I thank Mr. Brady for his partnership in this effort to hold Putin accountable and for his support for the Ukrainian people.
I also was moved by the gentlewoman from Indiana's testimony just a few minutes ago about Ukraine when she said this is not normal behavior. This is not the regularization, we hope, of normal behavior, a return to the old Soviet empire.
Madam Speaker, I applaud the terrific work of the Committee on Ways and Means Trade Subcommittee staff, particularly Alexandra Whittaker, Katie White, and Sofia Ferber. Their expertise and dedication made this legislation possible, and I thank them for their contributions.
Madam Speaker, I think in the many years that I have been in this House, one of the most moving moments occurred yesterday when we heard the President of Ukraine, Zelenskyy--duly elected, incidentally--talk about the pain and anguish but also the courage of the Ukrainian people. To witness the bombardment and the murder and killing of innocent children by this Russian dictator, I hope all the world, like this Congress today, will abhor that.
Madam Speaker, it is not enough just to applaud and to talk about the challenges that Russia has presented to the civilized world. We have to do something about it.
Coming on the heels of the oil embargo, I believe this will also receive broad bipartisan support today, and it will swiftly move from Congress to President Biden's desk. There is no time to waste.
Madam Speaker, I urge my colleagues to support H.R. 7108, and I yield back the balance of my time.
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