Deter Cyber Theft Act - Requires the Director of National Intelligence (DNI) to annually report to specified congressional committees on foreign countries that engage in economic and industrial espionage in cyberspace with respect to U.S. trade secrets or proprietary information. Requires each report to identify countries that engage in such espionage as well as countries that engage in the most egregious forms of such espionage.
Directs the President to exclude from entry into the United States any article produced or exported by an entity identified within any such report, as long as the President determines that such exclusion is warranted for the enforcement of intellectual property rights or to protect the integrity of the Department of Defense (DOD) supply chain.
[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[S. 884 Introduced in Senate (IS)]
113th CONGRESS
1st Session
S. 884
To require the Director of National Intelligence to develop a watch
list and a priority watch list of foreign countries that engage in
economic or industrial espionage in cyberspace with respect to United
States trade secrets or proprietary information, and for other
purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
May 7, 2013
Mr. Levin (for himself, Mr. McCain, Mr. Coburn, and Mr. Rockefeller)
introduced the following bill; which was read twice and referred to the
Committee on Finance
_______________________________________________________________________
A BILL
To require the Director of National Intelligence to develop a watch
list and a priority watch list of foreign countries that engage in
economic or industrial espionage in cyberspace with respect to United
States trade secrets or proprietary information, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Deter Cyber Theft Act''.
SEC. 2. ACTIONS TO ADDRESS FOREIGN ECONOMIC OR INDUSTRIAL ESPIONAGE IN
CYBERSPACE.
(a) Report Required.--
(1) In general.--Not later than 180 days after the date of
the enactment of this Act, and annually thereafter, the
Director of National Intelligence shall submit to the
appropriate congressional committees a report on foreign
economic and industrial espionage in cyberspace during the 12-
month period preceding the submission of the report that--
(A) identifies--
(i) foreign countries that engage in
economic or industrial espionage in cyberspace
with respect to trade secrets or proprietary
information owned by United States persons;
(ii) foreign countries identified under
clause (i) that the Director determines engage
in the most egregious economic or industrial
espionage in cyberspace with respect to such
trade secrets or proprietary information (in
this section referred to as ``priority foreign
countries'');
(iii) technologies or proprietary
information developed by United States persons
that--
(I) are targeted for economic or
industrial espionage in cyberspace; and
(II) to the extent practicable,
have been appropriated through such
espionage;
(iv) articles manufactured or otherwise
produced using technologies or proprietary
information described in clause (iii)(II);
(v) services provided using such
technologies or proprietary information; and
(vi) foreign entities, including entities
owned or controlled by the government of a
foreign country, that request, engage in,
support, facilitate, or benefit from the
appropriation through economic or industrial
espionage in cyberspace of technologies or
proprietary information developed by United
States persons;
(B) describes the economic or industrial espionage
engaged in by the foreign countries identified under
clauses (i) and (ii) of subparagraph (A); and
(C) describes--
(i) actions taken by the Director and other
Federal agencies to decrease the prevalence of
economic or industrial espionage in cyberspace;
and
(ii) the progress made in decreasing the
prevalence of such espionage.
(2) Determination of foreign countries engaging in economic
or industrial espionage in cyberspace.--For purposes of clauses
(i) and (ii) of paragraph (1)(A), the Director shall identify a
foreign country as a foreign country that engages in economic
or industrial espionage in cyberspace with respect to trade
secrets or proprietary information owned by United States
persons if the government of the foreign country--
(A) engages in economic or industrial espionage in
cyberspace with respect to trade secrets or proprietary
information owned by United States persons; or
(B) facilitates, supports, fails to prosecute, or
otherwise permits such espionage by--
(i) individuals who are citizens or
residents of the foreign country; or
(ii) entities that are organized under the
laws of the foreign country or are otherwise
subject to the jurisdiction of the government
of the foreign country.
(3) Prioritization of collection and analysis of
information.--The President shall direct the Director to make
it a priority for the intelligence community to collect and
analyze information in order to identify articles described in
clause (iv) of paragraph (1)(A), services described in clause
(v) of that paragraph, and entities described in clause (vi) of
that paragraph.
(4) Form of report.--Each report required by paragraph (1)
shall be submitted in unclassified form but may contain a
classified annex.
(b) Action by President.--
(1) In general.--Not later than 120 days after each report
required by subsection (a)(1) is submitted, the President shall
direct U.S. Customs and Border Protection to exclude from entry
into the United States an article described in paragraph (2) if
the President determines the exclusion of the article is
warranted--
(A) for the enforcement of intellectual property
rights; or
(B) to protect the integrity of the Department of
Defense supply chain.
(2) Article described.--An article described in this
paragraph is an article--
(A) identified under subsection (a)(1)(A)(iv);
(B) produced or exported by an entity that--
(i) is owned or controlled by the
government of a priority foreign country; and
(ii) produces or exports articles that are
the same as or similar to articles manufactured
or otherwise produced using technologies or
proprietary information identified under
subsection (a)(1)(A)(iii); or
(C) produced or exported by an entity identified
under subsection (a)(1)(A)(vi).
(c) Consistency With International Agreements.--This section shall
be applied in a manner that is consistent with the obligations of the
United States under international agreements.
(d) Definitions.--In this section:
(1) Appropriate congressional committees.--The term
``appropriate congressional committees'' means--
(A) the Committee on Armed Services, the Committee
on Homeland Security and Governmental Affairs, the
Committee on Finance, the Committee on Foreign
Relations, and the Select Committee on Intelligence of
the Senate; and
(B) the Committee on Armed Services, the Committee
on Homeland Security, the Committee on Foreign Affairs,
the Committee on Ways and Means, and the Permanent
Select Committee on Intelligence of the House of
Representatives.
(2) Cyberspace.--The term ``cyberspace''--
(A) means the interdependent network of information
technology infrastructures; and
(B) includes the Internet, telecommunications
networks, computer systems, and embedded processors and
controllers.
(3) Economic or industrial espionage.--The term ``economic
or industrial espionage'' means--
(A) stealing a trade secret or proprietary
information or appropriating, taking, carrying away, or
concealing, or by fraud, artifice, or deception
obtaining, a trade secret or proprietary information
without the authorization of the owner of the trade
secret or proprietary information;
(B) copying, duplicating, downloading, uploading,
destroying, transmitting, delivering, sending,
communicating, or conveying a trade secret or
proprietary information without the authorization of
the owner of the trade secret or proprietary
information; or
(C) knowingly receiving, buying, or possessing a
trade secret or proprietary information that has been
stolen or appropriated, obtained, or converted without
the authorization of the owner of the trade secret or
proprietary information.
(4) Intelligence community.--The term ``intelligence
community'' has the meaning given that term in section 3(4) of
the National Security Act of 1947 (50 U.S.C. 401a(4)).
(5) Own.--The term ``own'', with respect to a trade secret
or proprietary information, means to hold rightful legal or
equitable title to, or license in, the trade secret or
proprietary information.
(6) Person.--The term ``person'' means an individual or
entity.
(7) Proprietary information.--The term ``proprietary
information'' means competitive bid preparations, negotiating
strategies, executive emails, internal financial data,
strategic business plans, technical designs, manufacturing
processes, source code, data derived from research and
development investments, and other commercially valuable
information that a person has developed or obtained if--
(A) the person has taken reasonable measures to
keep the information confidential; and
(B) the information is not generally known or
readily ascertainable through proper means by the
public.
(8) Technology.--The term ``technology'' has the meaning
given that term in section 16 of the Export Administration Act
of 1979 (50 U.S.C. App. 2415) (as in effect pursuant to the
International Emergency Economic Powers Act (50 U.S.C. 1701 et
seq.)).
(9) Trade secret.--The term ``trade secret'' has the
meaning given that term in section 1839 of title 18, United
States Code.
(10) United states person.--The term ``United States
person'' means--
(A) an individual who is a citizen of the United
States or an alien lawfully admitted for permanent
residence to the United States; or
(B) an entity organized under the laws of the
United States or any jurisdiction within the United
States.
<all>
Introduced in Senate
Sponsor introductory remarks on measure. (CR S3165-3166)
Read twice and referred to the Committee on Finance. (text of measure as introduced: CR S3166-3167)
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