H.R. 9385

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 9385 Introduced in House (IH)]

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119th CONGRESS
2d Session
H. R. 9385

To prohibit entities integral to the national interests of the United 
States from participating in any foreign sustainability due diligence 
regulation, including the Corporate Sustainability Due Diligence 
Directive of the European Union, and for other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

June 22, 2026

Mr. Fitzgerald introduced the following bill; which was referred to the 
Committee on Energy and Commerce, and in addition to the Committee on 
the Judiciary, for a period to be subsequently determined by the 
Speaker, in each case for consideration of such provisions as fall 
within the jurisdiction of the committee concerned

_______________________________________________________________________

A BILL

To prohibit entities integral to the national interests of the United 
States from participating in any foreign sustainability due diligence 
regulation, including the Corporate Sustainability Due Diligence 
Directive of the European Union, 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 ``Prevent Regulatory Overreach from 
Turning Essential Companies into Targets Act of 2026'' or the ``PROTECT 
USA Act of 2026''.

SEC. 2. FINDINGS.

Congress finds the following:
(1) The ability of citizens of the United States to engage 
in international commerce is a fundamental concern of the 
policy of the United States.
(2) Entities in the extractive and manufacturing sectors 
contribute significantly to the prosperity of the United States 
and the growth of the world economy.
(3) Maintaining and, in some cases, increasing access to 
certain supplies and materials from the extractive sector, 
including agriculture, energy, mining, and timber, and access 
to materials from the manufacturing sector, are critically 
important for promoting economic development and human progress 
in the United States and around the world.
(4) Restrictions, particularly restrictions adopted 
unilaterally by foreign countries that are substantially 
different from restrictions applied by the United States, that 
unreasonably hinder the ability of entities integral to the 
national interests of the United States to pursue their 
commercial activities can have serious adverse effects on 
employment, economic stability, scientific progress, and 
international trade, with the potential to impede domestic and 
foreign policy goals.
(5) Maintaining a robust United States energy supply is 
essential to the continued growth of the physical 
infrastructure supporting domestic advanced technologies, 
including data centers and computing hubs, and that foreign 
sustainability regimes with extraterritorial scope pose 
significant risks to United States competitiveness and 
innovation.

SEC. 3. DEFINITIONS.

In this Act:
(1) Entity integral to the national interests of the united 
states.--The term ``entity integral to the national interests 
of the United States'' means any partnership, corporation, 
limited liability company, or other business entity--
(A) that--
(i) is organized under the laws of any 
State or territory within the United States, or 
of the District of Columbia; and
(ii) conducts substantial business 
operations within the United States; or
(B) that the President otherwise identifies as 
integral to the national interests of the United 
States.
(2) Foreign sustainability due diligence regulation.--
(A) In general.--Except as provided in subparagraph 
(B), the term ``foreign sustainability due diligence 
regulation'' means any law, regulation, or other legal 
instrument adopted by a foreign government that 
requires any person to undertake--
(i) an assessment of the environmental or 
social impacts of its operations or value 
chain;
(ii) action to address any impacts 
identified in the assessment described in 
clause (i); and
(iii) reporting of the impacts and actions 
described in clauses (i) and (ii).
(B) Exception.--The term ``foreign sustainability 
due diligence regulation'' does not apply to any law, 
regulation, or other legal instrument that is 
substantively similar to a law, regulation, or other 
legal instrument that has been adopted or approved by 
an Act of Congress.
(C) Inclusion of corporate sustainability due 
diligence directive.--The term ``foreign sustainability 
due diligence regulation'' includes--
(i) the entirety of the Corporate 
Sustainability Due Diligence Directive adopted 
by the European Union;
(ii) any successor directive adopted by the 
European Union or any member country of the 
European Union; and
(iii) any precursor directive adopted by 
any member country of the European Union.

SEC. 4. PROHIBITION ON COMPLIANCE WITH FOREIGN SUSTAINABILITY DUE 
DILIGENCE REGULATIONS.

(a) In General.--Except as provided in subsection (b), no entity 
integral to the national interests of the United States may comply with 
any foreign sustainability due diligence regulation.
(b) Exception for Ordinary Business Activities.--Subsection (a) 
does not prohibit an entity from undertaking actions that it may 
lawfully take--
(1) to comply with a statute of the United States; or
(2) in the ordinary course of business, including in 
response to an information request from a consumer or an 
investor.
(c) Hardship Relief Process.--
(1) Petition for relief.--Any entity integral to the 
national interests of the United States that believes it will 
experience particular hardship in connection with the 
prohibition described in subsection (a) may petition the 
President for an exemption from such prohibition.
(2) Exemption approval.--
(A) In general.--Except as provided in subparagraph 
(B), a petition from an entity submitted under 
paragraph (1) shall be granted.
(B) Denial by president.--Notwithstanding 
subparagraph (A), the President may deny a petition 
from an entity submitted under paragraph (1) if, not 
later than 30 days after the date on which the 
President receives such petition, the President 
provides to the entity a written statement that--
(i) denies the petition on the basis that 
granting the petition would be contrary to the 
national interests of the United States;
(ii) includes an explanation to support 
such basis; and
(iii) describes any condition the entity 
could meet such that the petition would be 
granted.
(3) Factors to be considered.--In deciding under paragraph 
(2)(B) whether to deny a petition from an entity submitted 
under paragraph (1), the President shall consider the 
following:
(A) The extent to which denying the petition would 
result in the inability of the relevant entity to 
participate in value chains associated with products 
essential for domestic use in the United States.
(B) Possible adverse effects on the economy in any 
locality or region of the United States, including 
adverse effects on employment.
(C) The degree to which granting the petition would 
impact, directly or indirectly, the United States.
(D) The extent to which denying the petition would 
prevent the entity from divesting in a business formed 
under the laws of a jurisdiction subject to a foreign 
sustainability due diligence regulation.

SEC. 5. PROHIBITION AGAINST ADVERSE ACTION FOR COMPLIANCE WITH THIS 
ACT.

(a) In General.--No person may take any adverse action towards an 
entity integral to the national interests of the United States for 
action or inaction related to a foreign sustainability due diligence 
regulation.
(b) Judgments for Foreign Sustainability Due Diligence 
Regulations.--No judgment by a foreign court brought against an entity 
integral to the national interests of the United States in relation to 
any foreign sustainability due diligence regulation shall be recognized 
in the courts of the United States or of the States, unless otherwise 
provided by an Act of Congress.
(c) Enforcement.--
(1) Actions by the president.--
(A) In general.--The President shall take any 
action the President determines is in the public 
interest to protect an entity integral to the national 
interests of the United States from an adverse action 
related to a foreign sustainability due diligence 
regulation.
(B) Determination of public interest.--In 
determining under subparagraph (A) whether an action by 
the President is in the public interest, the President 
shall take into account the impact of the adverse 
action described in that subparagraph on--
(i) consumers and businesses in the United 
States;
(ii) the economic, energy, and 
environmental security of the United States; 
and
(iii) foreign relations of the United 
States, including existing international 
commitments.
(2) Penalties.--A person that violates subsection (a) or a 
regulation issued pursuant to this Act shall be subject to a 
civil penalty of not more than $1,000,000.
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