PAST: Ernst Measure preventing China, …

WASHINGTON—Today, U.S. Senator Joni Ernst (R-Iowa), senior member of the Senate Committee on Small Business and Entrepreneurship and the top Republican on the Senate Armed Services Subcommittee on Emerging Threats and Capabilities , had its measure to prevent China and Russia from exploiting Small Business Administration (SBA) programs pass the Senate.

As the Senate considered legislation relating to competitiveness with China, Ernst led an effort to demand SBA programs — specifically the Small Business Innovation Research (SBIR) and Technology Transfer programs in small businesses (STTR) – that they carry out security reforms in order to prevent China and Russia. shell companies to access their national security technology.

Click on here or on the image above to watch Ernst’s remarks on the effort.

“We can and should take serious steps to compete with the Chinese Communist Party, but pouring billions of dollars into research and development with little oversight or accountability is not the answer. Hard-working Iowan taxpayers’ money should never be used to subsidize Chinese and Russian shell corporations, especially at the expense of American small businesses, which is why I’m glad the Senate acted today and passed my disposition to defend these programs against foreign influence and protect our national security,” said Senator Ernst.


The SBIR and STTR programs provide critical innovation funding to small American businesses. China has become one of the main beneficiaries of the SBIR and STTR programs due to the lack of proper monitoring. China and other foreign adversaries have created shell companies, acquired beneficial ownership of US companies, selected key personnel for talent recruitment and other state-led technology acquisition efforts.

Ernst’s measure, which was adopted as part of the USICA/COMPETES Act today – would prevent Congress from reauthorizing programs without significant reforms to combat adverse foreign influence in those programs and to protect our national security.


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