Iran-China Energy Sanctions Act of 2023

Floor Speech

BREAK IN TRANSCRIPT

Mr. LAWLER. Mr. Speaker, I thank the gentleman for his leadership in getting this bill to the floor, and I thank my colleague from New Jersey (Mr. Gottheimer), my co-lead on this bill, for his support.

Mr. Speaker, I rise in support of this legislation, H.R. 5923, the Iran-China Energy Sanctions Act.

Iran is exporting around 1.5 million barrels of petroleum per day, its highest level in 4 years. Around 80 percent of these exports go to China, providing Tehran with revenues that keep their coffers filled and enable Iran's sponsorship of terrorism abroad, including backing Hamas, Hezbollah, and the Houthis.

Make no mistake, the October 7 attack on Israel would not have been possible without Iranian support, and this weekend's brazen assault on Israel demonstrates Iran's intentions have not wavered. They want to eradicate the State of Israel from the face of the Earth.

My bill targets independent Chinese oil refiners, so-called teapots, which have been driving China's purchases of Iranian crude. Unlike state-owned refiners that have retreated from the market, teapots are less exposed to blocking sanctions and deal in more limited quantities. However, teapots aren't completely beyond our reach.

The United States also wields secondary sanctions that punish foreign financial institutions that work with Iran's banks in order to deal in Iranian crude. This is where the bill comes in. While these teapots may not have economic ties to the U.S. that would make them weary of sanctions, Chinese and other foreign financial institutions that work with teapots do deal with the U.S. financial system.

Therefore, my bill expands the law's definition to ensure that any dealings they have with Iran's sanctioned financial institutions, including the Iranian Central Bank, will lead to the closure of their corresponding accounts in our country. These secondary sanctions complement the SHIP Act, a bill I sponsored that would impose sanctions on ports and refineries that take in petroleum from Iran.

The House passed the SHIP Act in October and has been waiting for Senate Democrats to take up the bill ever since. It is critical that the Senate bring this bill and the SHIP Act up for votes. Enough is enough. We cannot let Iran continue in its efforts to destroy Israel, establish regional dominance, and destabilize the entire free world. Addressing their oil-trade revenues is perhaps the best way to accomplish this.

This commonsense, bipartisan piece of legislation would do just that and would significantly reduce Iran's ability to project power in the region, fund terrorist groups, and attack our closest ally, Israel, both on its own or through its proxies.

BREAK IN TRANSCRIPT

Source