On Wednesday, the Senate approved the $717 billion National Defense Authorization Act. In the process, they gave Chinese telecommunications firm ZTE a pass on tougher sanctions to keep the $1 billion fine the company agreed to pay in a deal with the Department Commerce that undercut original sanctions. ZTE had provided American technology to both North Korea and Iran.
In short, the Senate decided that even if you make Americans less safe by literally giving technology to dangerous anti-American nuclear regimes that you can get off with a fine rather than strict sanctions because, well, the U.S. needs the money from that fine to pay for defense.
Never mind that they are allowing a company that undermined the safety of Americans that defense spending is supposed to protect to keep operating.
Firms like ZTE that actively endanger America should face strict penalties, not just a fine, which amounts to a slap on the wrist given ZTE’s backing from the Chinese government.
Sens. Marco Rubio, R-Fla., and Chris Van Hollen, D-Md., called out the removal of ZTE sanctions with Van Hollen arguing, “in the middle of a bill that is supposed to help protect our national security, we now have a big hole.”
The response to this criticism reveals the flaws in the Senate’s logic.
Sen. Jack Reed, D-R.I., who is also the ranking member on the Senate Armed Services Committee, argued that the government needed the money from the ZTE fine to pay for defense saying “that $1 billion offset could only come from military program subject to our jurisdiction — the end strength of the military, platforms we might acquire — we found it difficult to work through that issue.”
Apparently, endangering Americas is OK if you give a billion dollars for defense.