The <a href="https://www.dailywire.com/topic/biden-administration" target="_blank" rel="noopener">Biden administration</a> tightened restrictions on exporting advanced computing semiconductors and semiconductor manufacturing equipment to China on Tuesday to counter the Chinese government from producing military applications involving hypersonic missiles and artificial intelligence.
U.S. Commerce Secretary Gina Raimondo said in a <a href="https://www.bis.doc.gov/index.php/documents/about-bis/newsroom/press-releases/3355-2023-10-17-bis-press-release-acs-and-sme-rules-final-js/file" target="_blank" rel="noopener">news release</a> that the administration updated the export rules to further shut off pathways China uses to evade restrictions.
&#8220;These controls maintain our clear focus on military applications and confront the threats to our national security posed by the [People&#8217;s Republic of China] Government&#8217;s military-civil fusion strategy,&#8221; Raimondo said. &#8220;As we implement these restrictions, we will keep working to protect our national security by restricting access to critical technologies, vigilantly enforcing our rules, while minimizing any unintended impact on trade flows.&#8221;
The updated restrictions impose license requirements for companies from nearly two dozen countries under U.S. arms embargoes to prevent countries of concern from diverting access to restricted items to China.
Raimondo reportedly told members of the press on Monday that while AI has the potential for &#8220;huge societal benefits,&#8221; it could also invoke &#8220;tremendous and profound harm if in the wrong hands and in the wrong militaries.&#8221;
The move comes over a year after Biden officials announced they would revise China&#8217;s access to certain high-end chips critical for military advantage.
After visiting Beijing and Shanghai in August, The Hill <a href="https://thehill.com/policy/technology/4260804-biden-administration-china-ai-chip-export-restrictions/" target="_blank" rel="noopener">reported</a> Raimondo said that the Biden administration is &#8220;trying to choke&#8221; China&#8217;s military capacity.
&#8220;If they feel that, that means our strategy&#8217;s working,&#8221; she told NBC&#8217;s &#8220;Meet the Press&#8221; in early September. &#8220;Certainly, on my watch, we are not going to sell the most sophisticated American chip to China that they want for their military capacity.&#8221;
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But she <a href="https://www.axios.com/2023/10/17/biden-export-restrictions-ai-chips-china?utm_campaign=editorial&amp;utm_content=politics&amp;utm_source=twitter&amp;utm_medium=social" target="_blank" rel="noopener">reportedly</a> said the Biden administration&#8217;s &#8220;export controls are not designed to impair China&#8217;s economic growth.&#8221;
&#8220;We don&#8217;t want to be more restrictive than necessary,&#8221; Raimondo said, adding that the vast majority of semiconductors would remain unrestricted.
Mao Ning, a Chinese Foreign Ministry spokesperson, <a href="https://www.fmprc.gov.cn/mfa_eng/xwfw_665399/s2510_665401/2511_665403/202310/t20231016_11161588.html" target="_blank" rel="noopener">criticized</a> the U.S. for expanding export controls on Monday, accusing the U.S. of &#8220;politicizing and weaponizing trade and tech issues&#8221; and &#8220;destabilizing global industrial and supply chains.&#8221;
President Joe Biden <a href="https://www.whitehouse.gov/briefing-room/presidential-actions/2023/08/09/executive-order-on-addressing-united-states-investments-in-certain-national-security-technologies-and-products-in-countries-of-concern/" target="_blank" rel="noopener">signed</a> an executive order in August imposing restrictions on outbound 
investments in China&#8217;s industries ranging from artificial intelligence to semiconductor and quantum computing, but administration officials reportedly admitted that slowing down the Chinese military from gaining access to such technology without economic consequences could pose a challenge.
&#8220;Now I can&#8217;t say that there&#8217;s not going to be some slowdown in Chinese capability around artificial intelligence at that high level that could possibly be used for goodness,&#8221; a senior administration official, who spoke on the condition of anonymity in a briefing ahead of the announcement, <a href="https://www.washingtonpost.com/technology/2023/10/17/commerce-china-chip-sanctions/" target="_blank" rel="noopener">told</a> The Washington Post. &#8220;But we have to focus on the national security implications there. Large language model applications or military applications can be very risky for the United States and its allies.&#8221;

CHINA-US-TRADE-DIPLOMACY-RAIMONDO

Biden Admin Tightens Exporting AI Chip Restrictions To China

Artificial Intelligence

Biden Administration

Commerce Department

Communist China

Executive

Gina Raimondo

World

Sen. <a href="https://www.dailywire.com/topic/jd-vance" target="_blank" rel="noopener">J.D. Vance</a> (R-OH) confronted the Biden administration&#8217;s commerce secretary on Wednesday over so-called diversity mandates dictating the hiring practices for domestic semiconductor manufacturing companies seeking federal funding as the industry faces a shortfall of skilled workers.
Vance, who sits on the Senate Commerce Committee, tore into U.S. Commerce Secretary Gina Raimondo during a hearing that focused on the implementation and oversight of the $52.7 billion <a href="https://www.congress.gov/117/bills/hr4346/BILLS-117hr4346enr.pdf" target="_blank" rel="noopener">CHIPS and Science Act</a>, which provides grant support for new manufacturing sites and research and development while also including various provisions aimed at promoting diversity, equity, and inclusion.
Meanwhile, the Semiconductor Industry Association (SIA) and Oxford Economics published a <a href="https://www.semiconductors.org/wp-content/uploads/2023/08/SIA_State-of-Industry-Report_2023_Final_080323.pdf" target="_blank" rel="noopener">report</a> over the summer that showed semiconductor manufacturers face a shortfall of roughly 67,000 workers by 2030, painting a grim future for U.S. industries needing computer scientists, engineers, and technicians.
&#8220;I&#8217;m struggling to make sense of the fact that we apparently have a shortage of skilled labor to manufacture chips on the one hand, and yet the Secretary of Commerce is telling people that they can only hire the people who check the right diversity boxes,&#8221; Vance <a href="https://www.youtube.com/watch?v=hcSORWzpaSs" target="_blank" rel="noopener">said</a>. &#8220;That doesn&#8217;t make a ton of sense — and seems to be counterproductive to the goal of bringing this industry back to the United States in the first place.&#8221;
The Biden administration <a href="https://www.dailywire.com/news/biden-signs-52-billion-semiconductor-bill-in-latest-push-to-fight-inflation" target="_blank" rel="noopener">signed</a> the act into law last year as an effort to combat supply-driven inflationary pressures and bring American manufacturing industries back to the United States as multiple key Asian manufacturing economies enforced harsh lockdown measures two years ago in response to COVID, creating bottlenecks in the global semiconductor supply chain that persist to the present day.
The department is overseeing a $39 billion semiconductor subsidy program under the act to help create industry jobs. The department <a href="https://fortune.com/2023/10/03/commerce-secretary-gina-raimondo-china-semiconductor-ai-working-group/" target="_blank" rel="noopener">reportedly</a> has received over 500 statements of interest from companies to work on semiconductor manufacturing and over 100 applications.
But Vance&#8217;s concerns over the particular implementation criteria could sway a company to plant a chip fabrication facility in China rather than the U.S.
&#8220;From China, they get cheap labor, massive subsidies, and a government that seems to want to work with them,&#8221; he said. &#8220;From the United States, they get a little bit of money and a human resources statement that looks like it was written by a 22-year-old gender studies graduate of Harvard or Yale.&#8221;
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Raimondo acknowledged during the hearing the need for the U.S. to produce chips and said the federal government would use the legislation toward labor, training, and workforce, but denied companies are mandated to hire so-called diversity applicants.
&#8220;What would you call it when the Secretary of Commerce says you must do this in order to receive funding? If it&#8217;s not a mandate, what is it?&#8221; Vance asked. &#8220;They have to show us a workforce plan in order to receive money from the federal government &#8212; that is the definition of a mandate. You must do X in order to receive Y dollars.&#8221;
&#8220;Why would you locate your facility in the United States of America when you get a human resources lecture from us, but from China, you get a whole lot of money and a whole lot of facilitation for your business? What&#8217;s the market economy here? Is it the economy that makes it hard to do business or easier to do business?&#8221;
Raimondo contended her job is to &#8220;protect taxpayer money.&#8221;
&#8220;And in order to do that, these companies have to be able to meet their mission,&#8221; she <a href="https://www.commerce.senate.gov/2023/10/chips-and-science-implementation-and-oversight" target="_blank" rel="noopener">said</a>. &#8220;And in order to do that, they need to have a trained workforce, and I&#8217;m going to work with them to make sure that happens.&#8221;
Raimondo said during the hearing that her department hopes to award its first chips funding award from the government&#8217;s multi-billion dollar semiconductor subsidy program by the end of this year.
&#8220;I am moving as fast as I can, but it&#8217;s more important to get it right than move fast,&#8221; Raimondo said.
Ben Zeisloft contributed to this report.

J.D. Vance Sept 7

J.D. Vance Grills Commerce Sec Over ‘Diversity Mandates’ For Fed Funding In Semiconductor Industry

J.D. Vance Grills Commerce Sec. Over Unfriendly U.S. Business Policies

Congress

JD Vance

Politics

U.S. Senate

U.S. businesses are getting fed up with trying to deal with the unpredictability of <a href="https://www.dailywire.com/topic/china">China</a>, according to a top <a href="https://www.dailywire.com/topic/biden-administration">Biden administration</a> official.
Commerce Secretary <a href="https://www.dailywire.com/topic/gina-raimondo">Gina Raimondo</a>, who appeared for multiple interviews on Sunday to talk about her recent trip to China, told <a href="https://www.youtube.com/watch?v=yxtxW5uinas">CBS News&#8217; &#8220;Face the Nation&#8221;</a> that creating a fair and competitive environment was a pressing issue amid concerns about opaque regulations, <a href="https://www.ft.com/content/f956ab7c-7980-44e4-b2b4-5f101398e2b3">raids</a> by Chinese authorities, and preserving trade secrets.
&#8220;I&#8217;ll tell you, prior to going to China, I personally spoke with more than 100 U.S. business leaders and labor leaders. And what they tell me is that even the ones that have been doing business in China for decades, you know, these are sophisticated people used to dealing with the traditional concerns of, you know, IP theft or non-market practices,&#8221; Raimondo said.
&#8220;They say, it&#8217;s much harder now, right? Like China is making it more difficult because of the reasons you say the &#8212; raids, the counter-espionage law. They are going to make a business decision to do business in other countries unless that improves. And so I was very clear with China that we need to — patience is wearing thin among American business,&#8221; she added. &#8220;They need and deserve a predictable environment and a level playing field. And hopefully China will heed that message so we can have a stable [and] growing commercial relationship.&#8221;
Raimondo traveled to China last week to map out cooperation areas in the commercial sector and address &#8220;challenges&#8221; faced by U.S. businesses.
She met with Chinese Minister of Commerce Wang Wentao, who stressed that trade and economic relations between their countries are suitable for the world economy, according to a readout from China&#8217;s embassy in the United States. Wang also raised concerns about issues that are a priority for Beijing, such as tariffs, semiconductor policies, and investment restrictions, per the release.
The Biden administration recently sent another Cabinet official, <a href="https://www.dailywire.com/news/yellen-admits-to-eating-magic-mushrooms-in-china">Treasury Secretary Janet Yellen</a>, to China in a bid to improve relations at a time of <a href="https://apnews.com/article/yellen-china-tensions-spy-balloon-taiwan-russia-edcb0077d45a3ffabbe4b9dbbf9fe29c">rising tensions</a>.
Raimondo said she believes her visit amounted to a &#8220;great deal of progress,&#8221; including the opening of new lines of communication and an agreement to share information about export controls, though she noted that commercial interests need to be balanced with national security needs. The secretary claimed she confronted Chinese officials about a <a href="https://www.wsj.com/articles/chinese-hackers-spied-on-state-department-13a09f03">hacking campaign</a> that gained access to her emails, an incident she said &#8220;erodes&#8221; trust.
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Chinese officials gave &#8220;verbal assurances&#8221; that U.S. businesses would be treated &#8220;fairly, that they will not engage in non-market practices which hurt American workers,&#8221; Raimondo added. The secretary said she told her Chinese counterparts that she wanted to see them live up to their words.
&#8220;Time will tell whether they are going to really be as they say they want to be, you know, more market-oriented and open and reform-minded when it comes to their economy, their regulatory regime,&#8221; Raimondo said. &#8220;They need to be less arbitrary in the way they administer regulations to actually give American businesses a fair shot to compete.&#8221;

Biden’s Commerce Secretary Warns U.S. Businesses Getting Impatient With China

Biden's Commerce Secretary Warns U.S. Businesses Getting Impatient With China

China

Department of Commerce

Global Politics

House Republicans have opened a probe into suspected Chinese cyber-espionage campaigns targeting the <a href="https://www.dailywire.com/topic/state-department" target="_blank" rel="noopener">State Department</a> and the Commerce Department after hackers gained access to federal government communications. 
The <a href="https://oversight.house.gov/release/comer-mace-grothman-open-probe-into-data-breach-of-email-systems-at-u-s-federal-agencies/" target="_blank" rel="noopener">investigation</a> is being led by House Oversight and Accountability Chair James Comer (R-KY), Rep. Nancy Mace (R-SC), and Rep. Glenn Growthman (R-WI). In two letters sent Wednesday, the lawmakers requested further information from Secretary of State Antony Blinken and Commerce Secretary Gina Raimondo after <a href="https://www.wsj.com/articles/chinese-hackers-spied-on-state-department-13a09f03" target="_blank" rel="noopener">reports</a> last month that Chinese hackers had gained access to communications from both departments. 
“According to recent reports, as part of a ‘suspected cyber-espionage campaign to access data in sensitive computer networks’ by China, the breaches reportedly occurred at over two dozen organizations, including some U.S. government agencies. The Department discovered this alleged intrusion by China on June 16, 2023, yet, you left later that evening for a trip to Beijing,” the <a href="https://oversight.house.gov/wp-content/uploads/2023/08/State-Dept-Email-System-Breach-Letter.pdf" target="_blank" rel="noopener">letter</a> to Blinken said. 
The lawmakers want a briefing on the compromise by August 9, saying they believed the recent discovery of the hacking indicated that China’s cyberattacks were becoming more advanced. 
“The incident even raises the possibility that Chinese hackers may be able to access high-level computer networks and remain undetected for months if not years,” the letter says. 
Lawmakers also requested a briefing from Raimondo in a nearly identical letter to the one sent to Blinken. 
News of the hacking, which federal officials first discovered in June, was first made public in July. 
 “Microsoft notified the department of a compromise to Microsoft’s Office 365 system, and the department took immediate action to respond,” a spokesman for the Commerce Department said last month. “We are monitoring our systems and will respond promptly should any further activity be detected.”
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In March, the White House put out a <a href="https://www.whitehouse.gov/wp-content/uploads/2023/03/National-Cybersecurity-Strategy-2023.pdf" target="_blank" rel="noopener">framework</a> discussing the need for cybersecurity, warning that China, North Korea, Russia, and Iran were all working to increase their cyber capabilities.
According to the framework, China represents “the broadest, most active, and most persistent threat to both government and private sector networks and is the only country with both the intent to reshape the international order and, increasingly, the economic, diplomatic, military, and technological power to do so.”
It added that China was pursuing “digital authoritarianism” to “shape the global Internet” into its image.

FBI Briefs House Oversight Leaders In Biden Probe

House Republicans Open Probe Into ‘Suspected’ Chinese Cyber Espionage Targeting Federal Agencies

Antony Blinken

House Republicans

James Comer

Nancy Mace

The <a href="https://www.dailywire.com/topic/commerce-department" target="_blank" rel="noopener">Commerce Department</a> moved to prevent funds allocated by the CHIPS and Science Act from helping with the development of semiconductors in <a href="http://dailywire.com/topic/national-security" target="_blank" rel="noopener">adversarial</a> nations.
The CHIPS and Science Act, signed by President <a href="http://dailywire.com/topic/biden-administration" target="_blank" rel="noopener">Joe Biden</a> last year, provides $39 billion in manufacturing <a href="https://www.whitehouse.gov/briefing-room/statements-releases/2022/08/09/fact-sheet-chips-and-science-act-will-lower-costs-create-jobs-strengthen-supply-chains-and-counter-china/#:~:text=%20FACT%20SHEET%3A%20CHIPS%20and%20Science%20Act%20Will,for%20capital%20expenses%20for%20manufacturing%20of...%20More%20" target="_blank" rel="noopener">incentives</a> for semiconductors, as well as $13.2 billion for research and development, and a 25% investment tax credit for computer chip production. Proposed rules from the Commerce Department would limit entities which receive the funds to develop semiconductor production in China, Russia, Iran, or North Korea.
“The innovation and technology funded in the CHIPS Act is how we plan to expand the technological and national security advantages of America and our allies,” Commerce Secretary Gina Raimondo said in a <a href="https://www.commerce.gov/news/press-releases/2023/03/commerce-department-outlines-proposed-national-security-guardrails" target="_blank" rel="noopener">statement</a>. “CHIPS for America is fundamentally a national security initiative and these guardrails will help ensure malign actors do not have access to the cutting-edge technology that can be used against America and our allies.”
Recipients of the funds will be unable to use them overseas, expand existing semiconductor operations abroad by more than 10% for one decade after the award, or launch research initiatives with foreign entities of concern.
Wang Wenbin, a spokesman for the Chinese Foreign Ministry, remarked at a press briefing on Wednesday that his nation’s government issued a diplomatic complaint in response to the proposed restrictions. “The so-called guardrails claimed by the U.S. are an out-and-out sci-tech blockade and protectionism,” the official said, according to a <a href="https://www.bloomberg.com/news/articles/2023-03-21/us-tightens-china-rules-for-chipmakers-getting-federal-funding-from-chips-act" target="_blank" rel="noopener">report</a> from Bloomberg. “The hobbling and containment will not stop China from growing, and will only strengthen our decision to seek self-development.”
TSMC, a manufacturer based in Taiwan that maintains operations in China, has recently <a href="https://www.dailywire.com/news/chipmaker-triples-investment-in-new-arizona-plant-to-40-billion" target="_blank" rel="noopener">committed</a> $40 billion toward a new semiconductor facility in Arizona. Samsung and Intel, both of which are expected to receive semiconductor funds alongside TSMC, also operate in China.
Enactment of the CHIPS and Science Act occurred in response to the fact that China, South Korea, and Japan control nearly 80% of global semiconductor manufacturing capacity, according to <a href="https://www.brookings.edu/blog/order-from-chaos/2022/04/12/ensuring-a-stronger-us-taiwan-tech-supply-chain-partnership/" target="_blank" rel="noopener">data</a> from the Brookings Institution, while TSMC alone produces over 90% of the sophisticated chips used in cell phones and computers. A reliable supply of semiconductors is necessary to develop artificial intelligence and weapons technologies.
The restrictions on semiconductor investment in adversarial countries occur as American officials become suspicious of Chinese firms and their associations with the nation’s government. The Biden administration <a href="https://www.dailywire.com/news/white-house-quietly-probes-chinese-tech-firm-for-possibly-harvesting-data-from-military-bases-missile-silos" target="_blank" rel="noopener">investigated</a> Chinese telecommunications company Huawei last year over concerns that American cell towers using the company’s devices were transmitting data on military bases and missile silos to the Chinese Communist Party. A final rule <a href="https://www.dailywire.com/news/u-s-makes-historic-move-to-block-certain-chinese-tech-after-national-security-concerns" target="_blank" rel="noopener">published</a> by the Federal Communications Commission prohibits Huawei, ZTE, Hikvision, and Dahua from importing and selling certain products that the agency considers a threat to national security. The new rule does not apply to technology already within American borders.
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Lawmakers also commissioned an <a href="https://www.dailywire.com/news/defense-officials-worry-about-new-chinese-espionage-threat-report-says" target="_blank" rel="noopener">examination</a> of the port cranes and large steel structures manufactured by ZPMC since sensors on the towers could monitor the shipment of items transported to assist American military operations. Officials are also considering a ban or forced <a href="https://www.dailywire.com/news/tiktok-ceo-swears-company-is-not-an-agent-of-china" target="_blank" rel="noopener">divestiture</a> of TikTok, which is owned by Chinese technology firm ByteDance, since members of the Chinese Communist Party can reportedly access American user data through the platform.

White House Moves To Stop Semiconductor Funds From Helping China, Other Adversaries

White House Moves To Stop Semiconductor Funds From Helping China

National Security

Technology

The U.S. government has moved to sanction six <a href="https://www.dailywire.com/topic/china" target="_blank" rel="noopener">Chinese</a> aerospace companies over their purported involvement in the communist country’s spy balloon program. 
The <a href="https://www.dailywire.com/topic/commerce-department" target="_blank" rel="noopener">Commerce Department </a>announced the <a href="https://public-inspection.federalregister.gov/2023-03193.pdf" target="_blank" rel="noopener">sanctions</a> on Friday, less than a week after the <a href="https://www.dailywire.com/topic/u-s-air-force" target="_blank" rel="noopener">Air Force</a> shot down a Chinese surveillance balloon over the Atlantic Ocean that had traversed the continental U.S. 
“The PRC’s [People&#8217;s Republic of China] use of high-altitude balloons violates our sovereignty and threatens U.S. national security,” Alan Estevez, undersecretary of commerce for industry and security, <a href="https://www.cnbc.com/2023/02/10/us-sanctions-six-chinese-tech-companies-for-supporting-spy-balloon-programs.html" target="_blank" rel="noopener">said</a> in a statement. “Today’s action makes clear that entities that seek to harm U.S. national security and sovereignty will be cut off from accessing U.S. technologies.”
The six Chinese entities in question will be placed on the Entity List, where trade restrictions are placed on companies that have been determined to jeopardize national security by the Commerce Department. 
The Chinese entities in <a href="https://www.theepochtimes.com/us-imposes-sanctions-on-6-chinese-firms-over-spy-balloon-programs_5050940.html?ea_src=frontpage_A_topstory&amp;ea_med=lead" target="_blank" rel="noopener">question</a> are Beijing Nanjiang Aerospace Technology, China Electronics Technology Group Corporation 48th Research Institute, Dongguan Lingkong Remote Sensing Technology, Eagles Men Aviation Science and Technology Group, Shanxi Eagles Men Aviation Science and Technology Group, and Guangzhou Tian-Hai-Xiang Aviation Technology.
According to the Epoch Times, several of the companies have developed projects with the Chinese military, and one of them specifically creates stratospheric airships. 
“The Commerce Department will not hesitate to continue to use the Entity List and our other regulatory and enforcement tools to protect U.S. national security and sovereignty,” Deputy Secretary of Commerce Don Graves said.
According to Commerce Department official Matthew Axelrod, action against the companies was taken to stop the spread of the Chinese balloon surveillance program. 
“Today’s action demonstrates our concerted efforts to identify and disrupt the PRC’s use of surveillance balloons, which have violated the airspace of the United States and more than forty countries,” he said.
The sanctions come the same day as the Air Force <a href="https://www.dailywire.com/news/new-information-released-about-object-u-s-military-shot-down-over-alaska" target="_blank" rel="noopener">shot down</a> an unidentified object over Alaska, just a week after the Chinese balloon incident. It is unclear if the new object is of Chinese origin or not. 
The object was reportedly flying around 40,000 feet, making it a threat to civilian aircraft.
“We have no further details about the object at this time, including any description of its capabilities, purpose, or origin,” said Pentagon spokesperson Brig. Gen. Pat Ryder. “The object was about the size of a small car, so not similar in size or shape to the high-altitude surveillance balloon that was taken down off the coast of South Carolina.”

Chinese spy balloon flying above Charlotte

U.S. Takes Action Against Chinese Companies Linked To Spy Balloon Program

Foreign Policy

U.S.

U.S. Air Force

The United States alerted Seagate Technology Holdings that it may have broken the law by selling hard drive disks to a blacklisted Chinese company, according to a new <a href="https://www.reuters.com/technology/us-alleges-seagate-broke-export-rules-sell-huawei-hard-drives-source-2022-10-26/?taid=63592e26a534fc0001c34656&amp;utm_campaign=trueAnthem:+Trending+Content&amp;utm_medium=trueAnthem&amp;utm_source=twitter" target="_blank" rel="noopener">report</a>. 
A source informed Reuters that the company at issue is Huawei. It is on the U.S. Commerce Department’s Entity List and is prohibited from purchasing exports from the U.S., as well as specific foreign-manufactured products, without being approved first by the government. 
A filing with the U.S. Securities and Exchange Commission reportedly states that Seagate was cautioned about this in a “proposed charging letter” from the Commerce Department at the end of August. The document also notes that Seagate contends that the hard disk drives are not under the U.S. export rules and acted lawfully. 
Seagate has said it is working with the agency and trying to settle the issue. It is a data <a href="https://www.seagate.com/" target="_blank" rel="noopener">storage</a> business based in Dublin, Ireland, but it also works in California. 
The disclosure reportedly said that the items being discussed were given to the company and its partners from August 2020 to September 2021, but it didn’t name the customer, which Reuters&#8217; source identified as China’s Huawei. The source said Seagate stopped sending products to Huawei a year ago.
Seagate could be charged with civil penalties of up to $300,000 for each violation or double the value of the deal. The source also said Seagate hopes to argue its side in a scheduled meeting with the Commerce Department. 
The law at issue is the Foreign Direct Product Rule, which was updated in August 2020. It doesn’t allow businesses to send products created in a foreign country to Huawei if made from U.S. software or technology. The rule was <a href="https://www.mayerbrown.com/en/perspectives-events/publications/2020/08/tightening-the-screws-us-further-restricts-huaweis-access-to-us-technologies#_edn2" target="_blank" rel="noopener">intended</a> to “prevent Huawei’s attempts to circumvent U.S. export controls to obtain electronic components developed or produced using U.S. technology,” according to reporting on a Commerce Department press release. 
The source told Reuters that Seagate believes the products do not fall under the guidelines, but the Commerce Department is charging the company due to a broader interpretation of how a product falls under the rule. 
Last October, Republicans on the Senate Commerce Committee reported that Seagate had probably sent banned materials to Huawei for up to a year. 
Earlier this week, the Justice Department <a href="https://www.nytimes.com/2022/10/24/us/politics/justice-dept-huawei.html" target="_blank" rel="noopener">said</a> it had charged Chinese intelligence authorities with trying to spy on a federal investigation being carried out into Huawei. Top law enforcement authorities also announced other unconnected legal steps taken against Chinese agents in the U.S. 
“The government of China sought to interfere with the rights and freedoms of individuals in the United States and to undermine our judicial system that protects those rights,” Attorney General Merrick Garland told the press. “We will continue to fiercely protect the rights guaranteed to everyone in our country.”

5C914536-1776-4C75-93CB-25B6C48F20EA_1_201_a

Report: U.S. Claims Seagate Violated Export Regulations To Ship Product To Chinese Company

Report: U.S. Claims Seagate Violated Export Regulations To Ship Product To Chinese Company Huawei

Reuters

Securities and Exchange Commission

The U.S. Commerce Department blacklisted five <a href="https://www.dailywire.com/topic/china">Chinese firms</a> for allegedly supporting the <a href="https://www.dailywire.com/topic/russia">Russian</a> military this week.
The U.S. sanctions landed against the firms Tuesday, hitting Connec Electronic Ltd., King Pai Technology Co., Sinno Electronics Co., Winninc Electronic and World Jetta (H.K.) Logistics Ltd., according to <a href="https://www.wsj.com/articles/u-s-blacklists-five-chinese-firms-for-allegedly-helping-russias-military-11656538213?mod=e2tw">The Wall Street Journal</a>. The Commerce Department placed them on the “<a href="https://public-inspection.federalregister.gov/2022-14069.pdf">entity list</a>” forbidding U.S. companies from doing business with them.
The new restrictions, a result of the firms allegedly aiding Russia in its invasion of Ukraine, come as the Biden administration denies that China has offered support for Russia’s military. National Security Advisor Jake Sullivan <a href="https://www.whitehouse.gov/briefing-room/press-briefings/2022/06/28/press-gaggle-by-press-secretary-karine-jean-pierre-and-national-security-advisor-jake-sullivan-en-route-madrid-spain/">told</a> reporters Tuesday that despite overtures of cooperation between Beijing and Moscow, China has not acted to support Russia “at scale.”
“For us, the number-one priority with respect to China, when it comes to the war in Ukraine, is that China not become militarily supportive of Russia through the provision of equipment. Number two is that they not engage in wholesale or systematic undermining or evasion of U.S. sanctions,” Sullivan said.
“And on both of those, thus far, we have not seen China act in a way inconsistent with those two principles and certainly not at scale with respect to the economic relationship,” he continued.
The Commerce Department’s action is the first taken against Chinese firms over the Russia-Ukraine war since its beginning in February. A representative at the Chinese Embassy in Washington, D.C., claimed that Beijing has only sought to promote peace in Russia.
“China’s position on the Ukrainian issue is consistent and clear. We have been playing a constructive role in promoting peace talks and have not provided military assistance to the conflicting parties,” the representative told WSJ.
Western leaders are closely <a href="https://www.nytimes.com/2022/06/13/world/asia/china-taiwan-ukraine-military.html">watching</a> how China treats Russia’s invasion of Ukraine, worrying that Russia’s invasion may be a precursor to China’s own invasion of neighboring Taiwan. Chinese President Xi Jinping has long claimed that Taiwan is a part of China and should be brought under Beijing’s rule.
Concerns of China’s cooperation with Russia shot up after Xi and Russian President Vladimir Putin issued a 5,000-word <a href="https://www.airuniversity.af.edu/Portals/10/CASI/documents/Translations/2022-02-04%20China%20Russia%20joint%20statement%20International%20Relations%20Entering%20a%20New%20Era.pdf">joint-statement</a> in early February against the “further enlargement of NATO,” which Putin later cited as a reason for his invasion of Ukraine. Beijing also <a href="https://www.dailywire.com/news/report-russia-china-coordinated-on-timing-of-ukraine-invasion">reportedly</a> had advanced warning from Russia that it intended to launch a full-scale invasion of Ukraine, and the two countries coordinated the timing of the invasion to fall after the 2022 Winter Olympics, which China hosted.

Vladimir Putin, Xi Jinping

U.S. Blacklists Five Chinese Firms As Biden Admin Downplays China’s Commitment To Russia

Russia

Ukraine-Russia War

Congress took some heat on Wednesday after announcing that the House Energy and Commerce Committee would hold hearings on the baby formula shortage beginning on May 25.
&#8220;Baby formula supplies have dipped below 50% in a handful of states so naturally, as the crisis worsens without an immediate solution in sight, Democrats will take a look at it&#8230;in two weeks,&#8221; Townhall.com Managing Editor Spencer Brown tweeted, adding, &#8220;E&amp;C Chair Frank Pallone (D-NJ) said the &#8216;nationwide infant formula shortages are increasingly alarming and demand Congress’ immediate attention,&#8217; and then scheduled a hearing — not actual action — for May 25th.&#8221;
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E&amp;C Chair Frank Pallone (D-NJ) said the &quot;nationwide infant formula shortages are increasingly alarming and demand Congress’ immediate attention,&quot; and then scheduled a hearing — not actual action — for May 25th. <a href="https://t.co/vNf3szxoCb">https://t.co/vNf3szxoCb</a>
&mdash; Spencer Brown (@itsSpencerBrown) <a href="https://twitter.com/itsSpencerBrown/status/1524438880560328704?ref_src=twsrc%5Etfw">May 11, 2022</a></blockquote>
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The meeting, according to Politico&#8217;s David Lim, was set to be held in the Oversight and Investigations subcommittee.
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Meeting will be in the Oversight and Investigations Subcommittee.
&mdash; David Lim (@davidalim) <a href="https://twitter.com/davidalim/status/1524421500400398336?ref_src=twsrc%5Etfw">May 11, 2022</a></blockquote>
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The main complaint — voiced by a number on Twitter — was that Congress had managed to push through another <a href="https://dailywire.com/news/peanut-butter-and-anchovies-pelosi-goes-biblical-to-pass-40b-ukraine-package/">$40 billion in aid</a> to Ukraine on an emergency basis, but did not appear to feel the same <a href="https://dailywire.com/news/parents-face-terrifying-baby-formula-shortage-amid-bidens-supply-chain-crisis/">urgency</a> when it came to the <a href="https://dailywire.com/news/amid-baby-formula-shortages-republicans-introduce-legislation-strengthening-domestic-infant-formula-supply/">formula</a> that many families depend on to feed their babies.
&#8220;These hearings should’ve happened two months ago&#8230; Where’s @ChrisPappasNH and the rest of the Pelosi Congress?&#8221; New Hampshire Congressional candidate Matt Mowers <a href="https://twitter.com/mowers/status/1524459640049881096">asked</a>.
&#8220;Government can pass a $40 Billion spending package for Ukraine in under 6 hours, but have to wait two weeks before addressing baby formula shortage in America. Are you paying attention yet??&#8221; Nat Shupe <a href="https://twitter.com/NatShupe/status/1524486143181529088">asked</a>.
Tag Strategies VP Erin Perrine <a href="https://twitter.com/ErinMPerrine/status/1524452826168143872">added</a>, &#8220;It would have been good to have this hearing a couple of months ago and not in two weeks. Families are struggling RIGHT NOW to get baby formula. Democrats are failing to meet another crisis facing Americans. Classic.&#8221;
Independent journalist Glenn Greenwald referenced House Speaker Nancy Pelosi&#8217;s comments on Ukraine — &#8220;When you&#8217;re home thinking about [what $40 billion to Ukraine] is all about, just think about &#8216;when I was hungry, you fed me&#8217; from the Gospel of Matthew&#8221; — and argued that it might be perceived as tone deaf in the context of a nationwide baby formula shortage.
&#8220;The Gospels teach that Congress should send $40 billion more to Raytheon, Lockheed Martin, and CIA to fuel the war in Ukraine. The whole &#8216;you fed me&#8217; shtick seems particularly tone-deaf given the suffering of Americans with inflation, poverty, inability to buy baby formula, etc,&#8221; he said.
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The Gospels teach that Congress should send $40 billion more to Raytheon, Lockheed Martin, and CIA to fuel the war in Ukraine.
The whole &quot;you fed me&quot; shtick seems particularly tone-deaf given the suffering of Americans with inflation, poverty, inability to buy baby formula, etc. <a href="https://t.co/QZY69DiQQX">https://t.co/QZY69DiQQX</a>
&mdash; Glenn Greenwald (@ggreenwald) <a href="https://twitter.com/ggreenwald/status/1524482478802714625?ref_src=twsrc%5Etfw">May 11, 2022</a></blockquote>
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&#8220;If the reports of baby formula shortages in the United States are true, but Congress can find $40 billion to fund a foreign war, it’s not just quasi-criminal in the impeachable sense. It is outright criminal in the criminal negligence sense,&#8221; Viva Frei <a href="https://twitter.com/thevivafrei/status/1524365689657692162">tweeted</a>.
Former MMA fighter Jake Shields <a href="https://twitter.com/jakeshieldsajj/status/1524438822259462144">added</a>, &#8220;Your Baby might go hungry next week due to a formula shortage but thankful congress rushed through a spending bill to give Ukraine 40 billion in weapons.&#8221;

Baby Formula Display

‘Outright Criminal’: Congress Dragged For Rushing $40 Billion To Ukraine, Waiting 2 Weeks To Schedule Hearing On Formula Shortage

Congress Takes Heat For 2 Week Delay On Formula Shortage Hearing

babies

baby formula shortage

Roe v. Wade's Long And Brutal Legacy

Supply Chain

The Federal Reserve’s preferred measure of inflation hit a 40-year high in March, according to Commerce Department data released on Friday.
The personal-consumption expenditures (PCE) index rose at an annualized rate of 6.6% last month, according to the <a href="https://www.bea.gov/sites/default/files/2022-04/pi0322.pdf">Bureau of Economic Analysis</a>. The report comes as prices continue to rise under strain from consumer demand, supply chain problems, and the ongoing war between Ukraine and Russia, according to <a href="https://www.wsj.com/articles/inflation-rises-to-four-decade-high-according-to-the-feds-preferred-measure-11651240887">The Wall Street Journal</a>. Trillions of dollars spent by the federal government on pandemic aid have also fueled inflation.
The PCE index measures the price fluctuations in a basket of consumer goods and services to track the rate of inflation. Commerce Department analysts also separate off and measure core PCE, which excludes food and energy because of their volatility. Core CPI measured a 5.2% annualized increase in March, down from a revised 5.3% increase in February.
Federal Reserve Chairman Jerome Powell has recently signaled the Fed’s intention to raise interest rates to try and curb consumer demand. The Fed raised the federal funds rate a quarter of a percentage point last month, and additional rate hikes are expected to come throughout the year.
The Fed typically only changes the federal funds rate by a quarter point per each Federal Open Market Committee meeting, held once a quarter. Powell has floated raising the rate by half a percentage point at the next meeting this summer, however, if inflation does not slow down.
In a speech last month, Powell said that Fed officials “widely underestimated” the inflationary pressures and signals the U.S. has been experiencing for months. “The labor market is very strong, and inflation is much too high,” he said in a speech before the National Association for Business Economics, according to <a href="https://www.cnbc.com/2022/03/21/powell-says-inflation-is-much-too-high-and-the-fed-will-take-necessary-steps-to-address.html">CNBC</a>.
“We will take the necessary steps to ensure a return to price stability,” he said. “In particular, if we conclude that it is appropriate to move more aggressively by raising the federal funds rate by more than 25 basis points at a meeting or meetings, we will do so. And if we determine that we need to tighten beyond common measures of neutral and into a more restrictive stance, we will do that as well.”
“In normal times, when employment and inflation are close to our objectives, monetary policy would look through a brief burst of inflation associated with commodity price shocks,” he added. “However, the risk is rising that an extended period of high inflation could push longer-term expectations uncomfortably higher, which underscores the need for the Committee to move expeditiously as I have described.”
U.S. Gross Domestic Product fell for the first time in nearly two years in the first quarter of 2022. President Joe Biden, on the heels of the poor economic news, asserted that the U.S. economy is still strong, blaming the contraction on “technical factors.”
“The American economy &#8212; powered by working families &#8212; continues to be resilient in the face of historic challenges,” Biden said in a <a href="https://www.whitehouse.gov/briefing-room/statements-releases/2022/04/28/statement-by-president-joe-biden-on-gross-domestic-product/">statement</a>. “While last quarter’s growth estimate was affected by technical factors, the United States confronts the challenges of COVID-19 around the world, Putin’s unprovoked invasion of Ukraine, and global inflation from a position of strength.”

Joe Biden

The Fed’s Favorite Inflation Measure Hits Four-Decade High

PCE Index, Key Inflation Measure Hits Four-Decade High

Federal Reserve

Inflation

On Wednesday, Biden Administration Commerce Secretary Gina Raimondo stated, &#8220;There is not a shred of evidence to show that the [Trump tax] cuts in 2017 increased growth or productivity.&#8221;
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Commerce Secretary Gina Raimondo says &quot;there is not a shred of evidence to show the [Trump] tax cuts in 2017 increased growth and productivity.&quot; <a href="https://t.co/SHIwrb60Mr">pic.twitter.com/SHIwrb60Mr</a>
&mdash; Daily Caller (@DailyCaller) <a href="https://twitter.com/DailyCaller/status/1379836076571955200?ref_src=twsrc%5Etfw">April 7, 2021</a></blockquote>
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The <a href="https://www.heritage.org/taxes/report/economic-history-the-tax-cuts-and-jobs-act-higher-wages-more-jobs-new-investment">Heritage Foundation</a> explained, “In December 2017, Congress passed a $1.5 trillion tax cut to spur business investment, support the long-running post-financial-crisis economic expansion, and simplify taxpaying. The primary permanent component of the TCJA is the 21 percent corporate income tax rate. The law lowered the federal rate from 35 percent, which had made America one of the highest corporate-income-tax countries in the world. The lower rate was paired with business expensing, allowing businesses to write off the full cost of investments through the end of 2022. These two provisions were the primary driving force behind projections of increased economic growth.&#8221;
There may be disagreements about whether the tax cuts increased growth and productivity, but it is a wild statement to aver that there is “not a shred of evidence.” The Heritage Foundation noted last month:
<blockquote>A new <a href="https://www.heritage.org/taxes/report/economic-history-the-tax-cuts-and-jobs-act-higher-wages-more-jobs-new-investment">Heritage Foundation report</a> chronicles how the tax cuts were a success on each of these margins. Following the tax cuts, the Congressional Budget Office projected a sustained increase in business investment. Through 2019, actual investment outpaced the government scorekeeper’s projections. Tax cut-driven turnaround in investment also showed up as a spike in new manufacturing orders, small-business optimism, and new-business applications. Those forces helped boost gains for workers.
New job openings surged in 2018, the year following the tax cuts, and about 83,000 more people voluntarily left their jobs for better opportunities at the end of 2019, compared with the pre-reform trend. The beginning of 2018 also marked a significant increase in wage growth. The accompanying chart shows that for production and nonsupervisory workers, nominal wage growth was 2.4% and declining in the years leading up to the tax cuts.
Following the tax cuts, wage growth for those workers increased to 3.8% by October 2019, according to data from the Bureau of Labor Statistics.</blockquote>
The House Ways and Means Committee <a href="https://gop-waysandmeans.house.gov/trump-tax-cuts-results-full-review/">stated</a> last October that the tax cuts had been successful:
<blockquote>In the third quarter of 2018, small businesses recorded their highest level of optimism to date. The unemployment rate reached a generational low, with record low unemployment for women, people of color, and workers without high school degrees. Since the enactment of TCJA, the economy gained nearly 5 million jobs before the pandemic. Under TCJA, job openings were at a record high of 7.5 million jobs.</blockquote>
Conversely, <a href="https://markets.businessinsider.com/news/stocks/7-charts-showing-trump-tax-cuts-not-economic-rocket-fuel-2019-12-1028780773">Business Insider</a> argued the tax cuts were not very successful, “There were short-term bumps in GDP growth and business investment that faded relatively quickly. Wages increased, but not to the extent Republicans promised. US GDP ticked upward in the early months of 2018, helping the economy achieve 3% growth during the first year of the law, an early success for it. However, that momentum slowed in 2019, the product of anxiety among business leaders on Trump&#8217;s trade wars and weak demand overseas.”

Biden’s Commerce Secretary Claims No ‘Shred Of Evidence’ That Trump Tax Cuts ‘Increased Growth Or Productivity’

Tax Cuts

Gina Raimondo has won Senate confirmation to be President Joe Biden’s commerce secretary by an 84 to 15 vote. She resigned from her most recent position as governor of Rhode Island on Tuesday evening.
Democratic Lt. Gov. Daniel J. McKee was sworn in as governor shortly after Raimondo stepped down. He will serve the remaining 22 months of Raimondo’s gubernatorial term.
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Thank you, Rhode Island, for the trust you have placed in me these past ten years. It has been a privilege to serve as your treasurer and governor, and I know the future is bright. <a href="https://t.co/Ll9YXTCgRk">pic.twitter.com/Ll9YXTCgRk</a>
&mdash; Gina Raimondo (@GovRaimondo) <a href="https://twitter.com/GovRaimondo/status/1366888619517042690?ref_src=twsrc%5Etfw">March 2, 2021</a></blockquote>
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Raimondo, a 49-year-old Democrat, is a former Rhodes Scholar. She graduated from Harvard, went on to Yale to earn a law degree, then co-founded Point Judith Capital, a venture capital firm. Her political career began when a regional director at Emily’s List <a href="https://www.bostonglobe.com/2021/02/24/metro/pensions-pandemic-moments-that-defined-gina-raimondos-time-ri-politics/">recruited</a> Raimondo and other Democratic, pro-choice women to consider running for state and local offices throughout Rhode Island.
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84-15: Senate confirms Rhode Island Democratic Governor Gina Raimondo to be President Biden&#39;s Commerce Secretary. <a href="https://t.co/xMccn0PUen">pic.twitter.com/xMccn0PUen</a>
&mdash; Craig Caplan (@CraigCaplan) <a href="https://twitter.com/CraigCaplan/status/1366840162722938883?ref_src=twsrc%5Etfw">March 2, 2021</a></blockquote>
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She was elected state treasurer in 2010, won the governorship four years later, and was re-elected to a second term in 2018.
“Rhode Island may be small, but our economy is mighty on the strength of our small businesses and innovative technologies,” Raimondo tweeted after being nominated earlier this year. “As Secretary of Commerce, I will harness that same American ingenuity to create good-paying union jobs and build our economy back better than ever before.”
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Rhode Island may be small, but our economy is mighty on the strength of our small businesses and innovative technologies. As Secretary of Commerce, I will harness that same American ingenuity to create good-paying union jobs and build our economy back better than ever before.
&mdash; Gina Raimondo (@GinaRaimondo) <a href="https://twitter.com/GinaRaimondo/status/1347352667648098309?ref_src=twsrc%5Etfw">January 8, 2021</a></blockquote>
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<a href="https://www.bostonglobe.com/2021/02/24/metro/pensions-pandemic-moments-that-defined-gina-raimondos-time-ri-politics/">According</a> to the Boston Globe, “Raimondo drew national attention for the 2011 state pension overhaul that she championed as state treasurer,” <a href="https://www.bostonglobe.com/2021/01/07/metro/governor-raimondo-set-be-tapped-join-biden-administration-commerce-secretary/">and</a>:
<blockquote>As governor, she revamped Rhode Island’s economic development office, and convinced lawmakers to approve multiple programs that allowed the state to offer millions of dollars in tax incentives to companies willing to relocate to Rhode Island. The office is now called Commerce Rhode Island.
Raimondo has acknowledged that she doesn’t enjoy handing out tax breaks to businesses, but she has also said the results suggest the incentives work. For much of her first campaign for governor, the state’s unemployment rate was above 8 percent. By the end of her first term, it was 3.7 percent. The jobless rate fell as low as 3.4 percent in February 2020, but the COVID-19 pandemic sent it soaring as high as 18.1 percent.
Raimondo has always dazzled big donors from Wall Street and Silicon Valley for her unapologetic focus on the economy, but liberals in Rhode Island have said that approach has overshadowed working-class families.</blockquote>
Biden <a href="https://www.bostonglobe.com/2020/12/30/metro/governor-gina-raimondo-commerce-secretary-honestly-who-knows/">reportedly</a> interviewed Raimondo to be his running mate and considered her for other Cabinet-level posts, including Secretary of Health and Human Services and head of the Transportation Department. <a href="https://www.nytimes.com/2020/12/15/us/politics/biden-democrats.html">According</a> to The New York Times, labor unions displeased with Raimondo’s record on pension reform helped block her from the HHS position.
She takes over a Department of Commerce tasked with promoting job creation and economic growth, ensuring fair trade, negotiating bilateral trade agreements, runs the National Weather Service program, and manages ocean and coastal navigation.
“Some of the brightest minds in the federal government – indeed some of the best scientists in America – are at the Commerce Department, and they deserve leadership that’s supportive, transparent, and driven toward a common mission – building a stronger, more equitable, and more resilient American economy,” Raimondo <a href="https://www.bostonglobe.com/2021/01/26/metro/raimondo-met-with-friendly-audience-commence-secretary-nomination-hearing/">said</a> at her confirmation hearing.
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I’m excited to help carry out the Build Back Better agenda.
We have a vision for an inclusive recovery that lifts up those who have been left behind. For a national effort to get Americans back to work. And for rebuilding manufacturing and restoring jobs that have gone overseas. <a href="https://t.co/ysDCk44cyP">pic.twitter.com/ysDCk44cyP</a>
&mdash; Gina Raimondo (@GinaRaimondo) <a href="https://twitter.com/GinaRaimondo/status/1347929598865117185?ref_src=twsrc%5Etfw">January 9, 2021</a></blockquote>
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“COVID has shined a light on the inequities in our economy,” she <a href="https://www.pbs.org/newshour/politics/watch-live-secretary-of-commerce-nominee-gina-raimondo-testifies-in-senate-confirmation-hearing">added</a>. “The president has been very clear, we’re going to build back better and more equitably, and I strongly support that.”
The department oversees more than 46,000 employees in various bureaus and agencies, including the U.S. Census Bureau.
Raimondo said if confirmed, she would work to “take the politics out of the census” after the Trump administration attempted to exclude unlawfully present immigrants from 2020 state population counts. The results, which have not yet been released, are used to reapportion congressional seats among the states.
On Tuesday, the U.S. Government Accountability Office (GAO), a congressional watchdog agency, classified the 2020 census as a high-risk project. <a href="https://www.startribune.com/watchdog-agency-says-2020-census-is-still-on-high-risk-list/600029323/">According</a> to The Associated Press, “the GAO has classified the 2020 census as a high-risk area since 2017.”
Raimondo has <a href="https://www.pbs.org/newshour/politics/watch-live-secretary-of-commerce-nominee-gina-raimondo-testifies-in-senate-confirmation-hearing">said</a>, “the climate crisis poses an existential threat to our economic security,” adding, “We must meet this challenge by creating millions of good, union jobs that power a more sustainable economy.”
U.S. Senator Ted Cruz, a Republican from Texas, had placed the Senate’s vote on hold last month. He <a href="https://twitter.com/SenTedCruz/status/1357037333640581120">accused</a> Raimondo of having “ethics issues” and a “soft stance on China.” Cruz specifically called Raimondo out for “her refusal to commit” to keeping Chinese telecom giant Huawei Technologies on a U.S. trade blacklist known as the Entity List.
Raimondo <a href="https://www.texarkanagazette.com/news/texas/story/2021/feb/07/cruz-places-hold-biden-commerce-pick/859219/">acknowledged</a> that “telecommunications equipment made by untrusted vendors is a threat to the security of the U.S. and our allies.”
“China’s actions have been anti-competitive, hurtful to American workers and businesses, coercive, and as you point out, they’re culpable for atrocious human rights abuses,” Raimondo <a href="https://www.pbs.org/newshour/politics/watch-live-secretary-of-commerce-nominee-gina-raimondo-testifies-in-senate-confirmation-hearing">said</a> while being questioned by Cruz earlier this year. “So whether it’s the entities list, or tariffs, or countervailing duties, I intend to use all those tools to the fullest extent possible to level the playing field for the American worker.”
Still, on Tuesday morning Sen. Cruz tweeted: “Heading to the Senate floor to deliver remarks on Team Biden’s troubling rush to embrace the Chinese Communist Party and his Commerce Secretary nominee Gina Raimondo.”
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Heading to the Senate floor to deliver remarks on Team Biden’s troubling rush to embrace the Chinese Communist Party and his Commerce Secretary nominee Gina Raimondo.
Watch live here &#8211;&gt; <a href="https://t.co/J4CWTfCyHd">https://t.co/J4CWTfCyHd</a>
&mdash; Senator Ted Cruz (@SenTedCruz) <a href="https://twitter.com/SenTedCruz/status/1366796609045090306?ref_src=twsrc%5Etfw">March 2, 2021</a></blockquote>
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.<a href="https://twitter.com/SenTedCruz?ref_src=twsrc%5Etfw">@SenTedCruz</a>: &quot;[T]here has been a rush to embrace the worst elements of the Chinese Communist Party in the Biden administration, and that includes [Commerce Nominee] Governor Raimondo. That is why I placed a hold on her confirmation, and I will not be voting to confirm her&#8230;&quot; <a href="https://t.co/YIm6j51vKr">pic.twitter.com/YIm6j51vKr</a>
&mdash; Steve Guest (@SteveGuest) <a href="https://twitter.com/SteveGuest/status/1366806451314978817?ref_src=twsrc%5Etfw">March 2, 2021</a></blockquote>
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Sen. Cruz reiterated those thoughts on the floor, speaking of “a rush to embrace the worst elements of the Chinese Communist Party in the Biden administration,” adding, “that includes (Commerce Nominee) Governor Raimondo.”
Republican Senator Rick Scott of Florida also opposed Raimondo’s nomination, <a href="https://twitter.com/SenRickScott/status/1366841565604417538">tweeting</a> that the Department of Commerce “shouldn’t be led by someone who supports doing more business w/Communist China, which steals U.S. technology &amp; jobs &amp; wants to destroy our economy.”
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I voted no on <a href="https://twitter.com/GovRaimondo?ref_src=twsrc%5Etfw">@GovRaimondo</a> for Secretary of <a href="https://twitter.com/CommerceGov?ref_src=twsrc%5Etfw">@CommerceGov</a> today. Commerce is responsible for protecting U.S. jobs &amp; innovation. It shouldn&#39;t be led by someone who supports doing more business w/ Communist China, which steals U.S. technology &amp; jobs &amp; wants to destroy our economy.
&mdash; Rick Scott (@SenRickScott) <a href="https://twitter.com/SenRickScott/status/1366841565604417538?ref_src=twsrc%5Etfw">March 2, 2021</a></blockquote>
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Fifteen Republican Senators opposed Raimondo’s confirmation, including Josh Hawley of Missouri, Tom Cotton of Arkansas, and John Barrasso of Wyoming. 34 Republicans joined all of the Democrats and voted yes.
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Here&#39;s a list of the GOP senators who voted against <a href="https://twitter.com/GovRaimondo?ref_src=twsrc%5Etfw">@GovRaimondo</a>&#39;s nomination for U.S. commerce secretary. Sen. Blackburn didn&#39;t vote. 
Another 34 voted with the 50 Democrats in favor. 
Full details &#8211;&gt; <a href="https://t.co/oDZ5SK6XBz">https://t.co/oDZ5SK6XBz</a> <a href="https://t.co/MCo5SSdsIp">pic.twitter.com/MCo5SSdsIp</a>
&mdash; Eli Sherman (@Eli_Sherman) <a href="https://twitter.com/Eli_Sherman/status/1366862437069295619?ref_src=twsrc%5Etfw">March 2, 2021</a></blockquote>
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U.S. Senator Jack Reed, a Democrat from Rhode Island, <a href="https://www.bostonglobe.com/2021/01/26/metro/raimondo-met-with-friendly-audience-commence-secretary-nomination-hearing/">reportedly</a> used to babysit Raimondo, as their families also vacationed together.
“I congratulate Secretary Raimondo,” Reed <a href="https://twitter.com/IanDon/status/1366840775502417928/photo/1">said</a> in a statement on Tuesday. “She will lead with integrity and play a critical role overseeing a wide array of key initiatives essential to our nation’s future, from helping U.S. manufacturers compete to investing in economic development to managing our ocean resources. She’ll build successful partnerships, bring people together, and help spur smart, sustainable economic growth.”
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">
There&#39;s a big focus on the race-gender diversity of Biden&#39;s cabinet, basically no coverage of class. Many went to private or prep/boarding schools: Vilsack (Shady Side), Raimondo (LaSalle Academy), Blinken (Dalton), Buttigieg (St. Joseph&#39;s), Walsh (Newman), Tai (Sidwell)
&mdash; Lee Fang (@lhfang) <a href="https://twitter.com/lhfang/status/1364284626114519041?ref_src=twsrc%5Etfw">February 23, 2021</a></blockquote>
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Both Reed and Raimondo attended the prestigious LaSalle Academy, a private Catholic college prep school in Providence.
Raimondo <a href="https://www.wpri.com/news/politics-government/raimondo-signs-federal-ethics-agreement-details-her-finances/">announced</a> her resignation from the highest governing body of Yale University, her alma mater, in January.

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