[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5248 Introduced in House (IH)]

<DOC>






119th CONGRESS
  1st Session
                                H. R. 5248

 To ensure the alignment of economic and foreign policies, to position 
 the Department of State to reflect that economic security is national 
                   security, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 10, 2025

   Mrs. Kim introduced the following bill; which was referred to the 
                      Committee on Foreign Affairs

_______________________________________________________________________

                                 A BILL


 
 To ensure the alignment of economic and foreign policies, to position 
 the Department of State to reflect that economic security is national 
                   security, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

                       TITLE V--ECONOMIC AFFAIRS

SEC. 501. UNDER SECRETARY FOR ECONOMIC AFFAIRS.

    (a) Establishment.--There shall be in the Department an Under 
Secretary for Economic Affairs who shall be responsible to the 
Secretary for matters pertaining to economic growth, commercial 
expansion, energy, technology policy and innovation, scientific 
research, commercial outer space affairs, critical minerals, water and 
the environment, protection of natural resources, sanctions policies, 
and such other related duties as the Secretary may from time to time 
designate.
    (b) Responsibilities.--In addition to the responsibilities 
described under subsection (a), the Under Secretary for Economic 
Affairs shall maintain continuous observation and coordination of all 
matters pertaining to economic and business affairs in the conduct of 
foreign policy, including, as appropriate, the following:
            (1) Preparing an annual strategic plan for expanding 
        opportunities for United States private sector companies in 
        international markets, coordinating the use of sanctions to 
        achieve national security objectives, promoting international 
        trade and investment, developing international policies around 
        new and emerging technologies, ensuring United States 
        leadership in science and technology, protecting natural 
        resources, and promoting United States energy interests.
            (2) Developing policies for consideration by the Secretary 
        to promote economic growth, facilitate market access, create 
        business enabling environments abroad, expand trade and 
        investment opportunities for United States companies, promote 
        United States energy exports and energy security, conserve and 
        manage economically important ecosystems and resources, expand 
        access to critical minerals abroad, support United States civil 
        and commercial space governance, promote international 
        standards, policies, and best practices for emerging technology 
        that facilitate United States economic growth, and safeguard 
        the preeminence of the United States dollar in international 
        markets.
            (3) Promoting United States international economic 
        interests to be addressed in the Biannual National Economic 
        Security Strategy Report, coordinated by the Office of the 
        Chief Economist.
            (4) Attending and participating in meetings of the National 
        Security Council, and National Space Council, when applicable, 
        at the direction of the Secretary, for matters related to 
        economic growth, energy, and commercial expansion, commercial 
        outer space affairs, oceans, science and technology 
        developments, natural resource protection, and fulfill the role 
        of Foreign Affairs Sous Sherpa relating to the activities of 
        the Group of Seven Industrial Nations (G-7).
            (5) Providing guidance to Department personnel in the 
        United States and overseas who conduct or implement policies, 
        programs, and activities related to economic growth, energy, 
        and commercial expansion, science and technology affairs, 
        natural resource conservation, and civil and commercial 
        activities in outer space.
            (6) Coordinating activities related to promoting economic 
        growth, facilitating market access, creating business enabling 
        environments abroad, expanding trade and investment 
        opportunities, promoting of energy exports, conserving and 
        managing economically important ecosystems and resources, 
        expanding access to critical minerals, maintaining United 
        States leadership in science, technology, and outer space, and 
        safeguarding the preeminence of the United States dollar in 
        international markets.
            (7) As directed by the Secretary, representing the 
        Department at interdepartmental meetings including the National 
        Economic Council, Homeland Security Council, Council on 
        Environmental Quality, and in providing policy advice to the 
        Secretary on matters under consideration by these groups.
    (c) First Appointment.--On the date of the enactment of this Act, 
the individual serving before such date of enactment as the Under 
Secretary for Economic Growth, Energy and the Environment shall be the 
Under Secretary for Economic Affairs. Any subsequent appointment of an 
individual to the position of Under Secretary for Economic Affairs 
shall be subject to the advice and consent of the Senate.

SEC. 502. ADMINISTRATION OF THE INTERNATIONAL TECHNOLOGY SECURITY AND 
              INNOVATION FUND.

    Section 102(c) of the CHIPS Act of 2022 (Public Law 117-167; 136 
Stat. 1375) is amended--
            (1) in paragraph (1)--
                    (A) by inserting ``, acting through the Under 
                Secretary of State for Economic Affairs'' after 
                ``Secretary of State''; and
                    (B) by adding at the end the following: ``Within 
                the Department of State, the Fund shall be overseen and 
                administered by the Under Secretary for Economic 
                Affairs.''.
            (2) in paragraph (2)(B), by inserting ``, acting through 
        the Under Secretary of State for Economic Affairs'' after 
        ``Secretary of State''.

SEC. 503. AUTHORIZATION OF APPROPRIATIONS FOR ECONOMIC AFFAIRS.

    (a) Administration of Accounts.--The Under Secretary for Economic 
Affairs shall direct, oversee, and otherwise exercise responsibility of 
funds made available for the International Technology Security and 
Innovation Fund.
    (b) Authorization of Appropriations.--Of the funds authorized to be 
appropriated to the Secretary of State under section 141, the Under 
Secretary for Economic Affairs shall receive the funds necessary to 
fulfill the Under Secretary's responsibilities for fiscal years 2026 
and 2027.

SEC. 504. CHIEF ECONOMIST.

    (a) Establishment.--There is authorized to be in the Department a 
Chief Economist who shall be responsible to the Under Secretary for 
Economic Affairs for matters pertaining to analyzing and forecasting 
the impact of economic trends on diplomatic functions and national 
security priorities, and such other related duties as the Secretary may 
from time to time designate.
    (b) Responsibilities.--In addition to the responsibilities 
described under subsection (a), the Chief Economist shall provide 
research and analysis to inform the Department's strategy for deploying 
international economic policy to strengthen alliances, deter malign 
foreign actors, and reduce dependencies on strategic rivals in the 
conduct of foreign policy, including, as appropriate, the following:
            (1) Providing research and analysis to inform the 
        development of the Department's strategy for deploying foreign 
        policy to ensure supply chain resilience, secure access to raw 
        materials and critical minerals, and maximize international 
        market access.
            (2) Providing analysis of complex, emerging geoeconomic 
        issues and offer advice to Department leadership on economic 
        diplomacy challenges.
            (3) Conducting research and rigorous, data-driven analysis 
        of high priority issues at the intersection of economics and 
        foreign policy to inform decision-making and diplomatic 
        engagements by senior Department officials.
            (4) Maintaining analytical products for the Department on 
        international economic issues, including on sanctions evasion 
        and the vulnerabilities of the United States and its partners 
        to economic coercion, as well as the economic opportunities for 
        United States businesses.
            (5) Contributing to the expansion of the economic expertise 
        of the Department through collaboration with the Foreign 
        Service Institute, the academic community, international 
        organizations, and other Federal departments and agencies the 
        Chief Economist determines necessary.
            (6) Serving as a liaison to technical experts in economics 
        and related fields in partner governments, international 
        institutions, and elsewhere in the United States government and 
        academic community.
            (7) Performing such other duties as the Under Secretary for 
        Economic Affairs may from time to time designate.
    (c) Report.--Not later than one year after the date of the 
enactment of this section, and every two years for the subsequent four 
years, the Chief Economist shall transmit to Congress a report on the 
international economic strategy of the United States and its analytical 
basis. In preparing the report, the Chief Economist shall coordinate 
input and analysis from other bureaus within the Under Secretary for 
Economic Affairs.

SEC. 505. OFFICE OF THE CHIEF ECONOMIST.

    (a) Establishment.--The Secretary shall establish an Office of the 
Chief Economist, which shall perform such functions related to the 
provision of expert economic advice and analysis, as the Under 
Secretary for Economic Affairs may prescribe.
    (b) Chief Economist.--The Chief Economist shall be the head of the 
Office of the Chief Economist.

SEC. 506. AUTHORIZATION OF APPROPRIATIONS FOR THE CHIEF ECONOMIST.

    Of the funds authorized to be appropriated to the Under Secretary 
for Economic Affairs under section 503, the Chief Economist shall 
receive the funds necessary to fulfill Office functions and the Chief 
Economist's responsibilities for fiscal years 2026 and 2027.

SEC. 507. ASSISTANT SECRETARY FOR COMMERCIAL DIPLOMACY.

    (a) Establishment.--There is authorized to be in the Department an 
Assistant Secretary?for Commercial Diplomacy who shall be responsible 
to the Under Secretary for Economic Affairs for matters pertaining to 
the trade and investment promotion and policy, international finance 
and development, transportation affairs, and such other related duties 
as the Secretary may from time to time designate.
    (b) Responsibilities.--In addition to the responsibilities 
described under subsection (a), the Assistant Secretary for Commercial 
Diplomacy shall be responsible for leading Department policies and 
programs, and coordinating with other United States agencies as 
appropriate, for all matters pertaining to the following:
            (1) Trade and investment promotion, such as--
                    (A) assisting and advocating for United States 
                businesses and commercial interests overseas;
                    (B) identifying foreign market opportunities for 
                United States businesses and helping United States 
                firms overcome challenges in foreign business climates;
                    (C) helping United States companies compete for and 
                win contracts in foreign markets;
                    (D) attracting foreign investment into the United 
                States by identifying high potential businesses in 
                foreign countries;
                    (E) ensuring United States private sector concerns 
                are integrated into United States foreign policy and 
                economic policy; and
                    (F) promoting international commercial projects 
                that advance the national security interests of the 
                United States, regardless of domestic content 
                thresholds.
            (2) International trade policy, including negotiating and 
        implementing trade agreements, resolving trade disputes, 
        bolstering supply chain resilience, and protecting intellectual 
        property rights.
            (3) International investment policy, including monitoring 
        international investment climates, negotiating and implementing 
        investment agreements, representing the Department in the 
        Committee on Foreign Investment in the United States, and 
        assisting United States companies involved in investment 
        disputes with foreign governments.
            (4) Development finance, including the mobilization of 
        private, bilateral, and multilateral development finance for 
        developing countries, particularly investments focused on 
        infrastructure projects.
            (5) The negotiation and extension of debt relief and 
        sovereign loan guarantees for United States allies and 
        partners.
            (6) The promotion of sound, transparent, and stable 
        economic policies overseas.
            (7) Perform such other duties as the Under Secretary for 
        Economic Affairs may from time to time designate.
    (c) First Appointment.--On the date of the enactment of this Act, 
the individual serving before such date of enactment as the Assistant 
Secretary for Economic and Business Affairs shall be the Assistant 
Secretary for Commercial Diplomacy. Any subsequent appointment of an 
individual to the position of Assistant Secretary for Commercial 
Diplomacy shall be subject to the advice and consent of the Senate.

SEC. 508. BUREAU OF COMMERCIAL DIPLOMACY.

    (a) Establishment.--The Secretary shall establish a Bureau of 
Commercial Diplomacy which shall perform such functions related to 
trade and investment promotion and policy, international finance and 
development, and transportation affairs, as the Under Secretary for 
Economic Affairs may prescribe.
    (b) Assistant Secretary.--The Assistant Secretary for Commercial 
Diplomacy shall be the head of the Bureau of Commercial Diplomacy.

SEC. 510. ENHANCING SUBNATIONAL DIPLOMACY.

    (a) Establishment.--There shall be established in the Department an 
Office of Subnational Diplomacy. The Office shall enable the 
Department's work with subnational governments (state, county, city, 
and municipal) within the United States to improve the ability of 
subnational governments to attract foreign investment, counter foreign 
malign influence within the United States, and contribute to the 
foreign policy priorities of the United States.
    (b) Coordinator.--The head of the Office shall be the Coordinator 
for Subnational Diplomacy. The head of the office shall report through 
the Assistant Secretary for Commercial Diplomacy to the Under Secretary 
for Economic Affairs.
    (c) Responsibilities.--In addition to the responsibilities 
described under subsection (a), the Coordinator for Subnational 
Diplomacy shall maintain continuous observation and coordination of all 
matters pertaining to subnational diplomacy and Department engagements 
with subnational governments in the conduct of foreign policy, 
including the following:
            (1) Advising the Under Secretary for Economic Affairs on 
        subnational engagements within the United States and serve as 
        the principal official on such matters within the Department.
            (2) Coordinating the Department's support for local and 
        municipal governments' engagements with foreign governments.
            (3) Advising subnational government officials on the 
        potential risks of engagements with countries of concern and 
        share best practices to build resilience against foreign 
        political interference and malign influence.
            (4) Assisting subnational governments in the following 
        areas:
                    (A) Attracting or bidding to host major 
                international events.
                    (B) Tracking foreign direct investment at the 
                county and municipal levels to highlight trends and 
                opportunities.
                    (C) Attracting foreign direct investment and other 
                forms of economic cooperation.
                    (D) Building the capacity and knowledge of 
                subnational government staff who have responsibility 
                for engaging with foreign countries.
                    (E) Advancing sports diplomacy with foreign 
                countries and entities.
                    (F) Implementing programs to cooperate with foreign 
                governments and entities on policy priorities or 
                managing shared resources.
                    (G) Understanding the local implications of foreign 
                policy developments or policy changes.
            (5) Supporting the economic interests of the United States 
        through subnational engagements, in consultation and 
        coordination with other relevant agencies.
            (6) Advising and informing local officials as they 
        negotiate agreements and memoranda of understanding with 
        foreign governments related to subnational engagements and 
        priorities.
            (7) Coordinating subnational engagements with associations 
        of subnational elected leaders, including the United States 
        Conference of Mayors, National Governors Association, National 
        League of Cities and similar associations.
            (8) Performing other such duties as the Assistant Secretary 
        for Commercial Diplomacy and the Under Secretary for Economic 
        Affairs may from time to time designate.

SEC. 511. AUTHORIZATION OF APPROPRIATIONS FOR COMMERCIAL DIPLOMACY.

    Of the funds authorized to be appropriated to the Under Secretary 
for Economic Affairs under section 503, the Assistant Secretary for 
Commercial Diplomacy shall receive the funds necessary to fulfill 
Bureau functions and the Assistant Secretary's responsibilities for 
fiscal years 2026 and 2027.

SEC. 512. ASSISTANT SECRETARY FOR WATER, ENVIRONMENT, AND SPACE 
              AFFAIRS.

    (a) Establishment.--There is authorized to be in the Department an 
Assistant Secretary for Water, Environment, and Space Affairs who shall 
be responsible to the Under Secretary for Economic Affairs for matters 
pertaining to space, oceans, polar affairs, environmental quality, 
freshwater, fisheries, wildlife and wildlife trafficking, conservation, 
and such other related duties as the Secretary may from time to time 
designate.
    (b) Responsibilities.--In addition to the responsibilities 
described under subsection (a), the Assistant Secretary for Water, 
Environment, and Space Affairs shall maintain continuous observation 
and coordination of all matters pertaining to oceans, fisheries, 
natural resource conservation, and outer space in the conduct of 
foreign policy, including, as appropriate, the following:
            (1) Developing United States p