Letter to Treasury to Investigate Six Chinese Companies, Funded by U.S. Investment, for Supporting Iran's Military & Terrorist Proxies

Chairman John Moolenaar (R-MI), and all 11 Republican members of the House Select Committee on the Chinese Communist Party, sent a letter to U.S. Treasury Secretary Janet Yellen calling on the Office of Foreign Assets Control and Financial Crimes Enforcement Network to investigate six People's Republic of China (PRC) companies that support Iran’s military and energy sector. These companies help Iran circumvent U.S. sanctions already in place, and jeopardize U.S. strategic interests.

Billions of dollars’ worth of U.S. investment, goods, and services flow to these PRC companies. In an April report, the Select Committee found that $6.5 billion of U.S. investment capitalized PRC companies deemed to be national security risks as of 2023. Many of those companies were identified in a similar January report published by the Prague Security Studies Institute as being strategically tied to Iran’s military or its energy industry to the tune of at least $6 billion.

Reps. Rob Wittman (R-VA), Blaine Luetkemeyer (R-MO), Andy Barr (R-KY), Dan Newhouse (R-WA), Darin LaHood (R-IL), Neal Dunn (R-FL), Jim Banks (R-IN), Dusty Johnson (R-SD), Michelle Steel (R-CA), Ashley Hinson (R-IA), and Carlos Gimenez (R-FL) joined Chairman Moolenaar.

The lawmakers write, "Many of these companies even appear to engage in activities that violate existing U.S. sanctions against Iran. As a result, U.S. retirees are likely indirectly funding activities that run counter to U.S. national security and international stability."

They continue, “The United States must counter the new authoritarian axis spearheaded by the PRC and Iran and penalize those PRC companies that help fund Iran’s activities to support Houthi attacks on commercial shipping in the Red Sea and stoke attacks against Israel by Hamas, Hezbollah, and Palestinian Islamic Jihad—all Specially Designated Nationals by Treasury.”

Lawmakers requested Treasury investigate the six companies (listed below) to determine whether their activities with respect to Iran have violated U.S. sanctions or otherwise warrant sanctions:

1. China North Industries Group Co., Ltd. (Norinco)

2. Aviation Industry Corporation of China (AVIC)

3. China Ocean Shipping Co., Ltd. (COSCO)

4. China National Offshore Oil Corporation (CNOOC)

5. CRRC Corporation Limited (CRRC)

6. China Petroleum & Chemical Corporation (Sinopec)

View the lawmakers’ letter to Secretary Yellen HERE