Olszewski Introduces Bipartisan, Bicameral Strategic Ports Reporting Act to Address Growing Economic & Military Threat from China

Washington, DC – Today, Congressman Johnny Olszewski announced the introduction of the Strategic Ports Reporting Act. This legislation requires the Secretary of State and the Secretary of Defense to develop a strategy to monitor efforts by the People’s Republic of China (PRC) to build, buy, or own strategic ports that provide capabilities for military, diplomatic, economic, or resource exploration superiority over the United States.

Specifically, the Strategic Ports Reporting Act will provide an analysis of:

• The activities and plans of the PRC to expand its control over global strategic ports.
• The U.S. national security and economic implications of PRC-controlled strategic port.
• The measures the U.S. government could take to ensure open access and security for strategic ports and offer alternatives to PRC investment in these ports.

Joining Congressman Olszewski in introducing the Strategic Ports Reporting Act are Representatives Congressman Bill Huizenga (R-MI), Jake Auchincloss (D-MA), and Rob Wittman (R-VA). Companion legislation to the Strategic Ports Reporting Act has also been introduced in the U.S. Senate and is led by Sen. Ted Budd (R-NC) and Sen. Mark Kelly (D-AZ). 

“China’s growing control over global ports threatens our national security and economic stability here at home," said Congressman Johnny Olszewski. "The Strategic Ports Reporting Act will ensure the U.S. has the necessary tools to monitor and counter this Chinese influence, protecting supply chains and our global standing. I’m proud to join my colleagues in co-leading this bipartisan effort to safeguard our ports and boost our economy.” 

“The Chinese Communist Party continues to advance economic and military objectives that undermine the security of the United States,” said Congressman Bill Huizenga. “The expansionist policies and strategic investments being pursued by the Chinese Communist Party near the Panama Canal, across the Western Hemisphere, and around the globe are challenges that Republicans and Democrats must confront together in order to put American interests first. The Strategic Ports Reporting Act creates a bipartisan opportunity to not only evaluate these growing concerns but counter them as well.”

“Control over ports is a pathway to global power. For millennia, these linchpins of trade and military might have been vital strategic assets,” said Congressman Jake Auchincloss. “The United States must not allow China the upper hand.”

“China’s Belt and Road Initiative is spreading Chinese money and influence around the world, while degrading our ability to operate in strategic ports necessary for commercial and military purposes,” said Congressman Rob Wittman. “It is crucial for the Departments of State and Defense to identify ways in which the Chinese Communist Party is expanding its maritime reach while providing recommendations for how the United States can counter those efforts and secure access to essential ports and infrastructure. I’m proud to join my colleagues in this bipartisan effort and look forward to championing it over the finish line.” 

“In January, the Senate Commerce Committee held a hearing on the influence of foreign adversaries on the Panama Canal and the impact on United States National Security, said Senator Ted Budd. This hearing highlighted China’s increasingly growing influence around the world and using maritime dominance to control the global economy. The United States must face this reality head on, and the first step is comprehensive monitoring of CCP activities at domestic or foreign ports that threaten U.S. interests and national security.”

“China’s growing influence over the oceans can have serious consequences for our national security and economy. That’s why we need the State and Defense Departments to protect our strategic ports from China’s interference,” said Senator Mark Kelly. “This bipartisan bill will strengthen our global maritime leadership.”    

Background:

As a companion to the Belt and Road Initiative, Chinese President Xi Jinping launched the Maritime Silk Road to take a dominating stake in the global economy. As of September 2023, China has signed 70 bilateral and regional shipping agreements with 66 countries and even has investments in critical ports in the United States.

For example, in 2019, COSCO Shipping, a Chinese state-owned multinational conglomerate, started developing a $3.6 billion deep-water megaport in Chancay, Peru, which COSCO will reportedly have exclusive rights over. Inaugurated in November 2024, goods can now travel from Chancay to Shanghai in less than 3 weeks, significantly reducing travel time and creating a significant opportunity for the PRC to expand its market presence in the Western Hemisphere. This is the largest deepwater port on the Western Coast of South America.

Moreover, the PRC manages ports at both ends of the Panama Canal. In 2016, China-based Landbridge Group acquired control of Margarita Island, Panama’s largest port on the Atlantic side, and inside the Colón Free Trade Zone, the largest free trade zone in the Western Hemisphere. On the Canal’s Pacific outlet, Hong Kong-based Hutchinson Port Holdings serves as the operator for the Port of Balboa, Panama. This is on top of a host of Chinese investments around the critical chokepoint for the Western Hemisphere.

The likelihood of the PRC leveraging its port infrastructure in the future to affect the flow of goods globally remains a significant challenge for the U.S. While many of these investments are portrayed as commercial relationships, the PRC’s global reach is cause for concern as many of these ports have the potential to be used for military purposes.

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