Protecting American Competition Act of 2026

Summary: Protecting American Competition Act of 2026 (H.R. 8285)

Date introduced: April 15, 2026

Status: Reported by the House Committee on Foreign Affairs (as of April 22, 2026) with a mark-up completed

Jurisdiction: United States Congress (House of Representatives)

Primary sponsors and notable co-sponsors:

- Original sponsor: Representative Issa (for himself)

- Co-sponsors include: Meeks, McCormick, Lawler, Sherman, Baird, and Johnson

1. Purpose and intent

• The bill amends the Export Control Reform Act of 2018 (ECRA) to strengthen the review process for licenses to export, reexport, or transfer (in-country) technology that is controlled under ECRA.
• Specifically, it introduces a requirement to consider whether a license would be the first or “initial” export/transfer to an ultimate consignee or end user, and encourages timely consideration of subsequent license applications for the same item to the same end user after an initial license has been issued.
• The overarching goal is to promote competition and ensure a more transparent, competitive market for sensitive technologies, while preserving national security and foreign policy interests.

2. Key provisions

New provision: Initial License Review (Section 1756(f))

• The Under Secretary of Commerce for Industry and Security (Under Secretary) must, when reviewing a license or other authorization for export, reexport, or in-country transfer of items controlled under ECRA, assess:
  • Whether the requested license would be the initial license for that item to the ultimate consignee or end user.
• After an initial license is issued for an item to a particular end user, the Under Secretary should attempt to administer future license applications for the same or similar item to the same end user in a timely manner.
• The Under Secretary must report to Congress, not later than one year after enactment and annually thereafter, on:
  • The number of initial licenses granted in the previous calendar year for which there were other applications to export/reexport/transfer the same or similar item to the same end user.
  • Details of the initial licenses and the outcome of other parallel applications.
  • The reasons for granting an initial license when other applications existed for the same end user and item.

Reporting and oversight

• A new mandatory annual report to Congress from the Under Secretary detailing the competitive dynamics and decision rationales for initial licenses when competing applications exist.
• A one-time report due 90 days after enactment outlining how the Under Secretary is implementing the new initial license review approach, including any changes to licensing policies or officer operating protocols.

Rule of construction

• The bill explicitly states that nothing in the act requires delaying a licensing decision or issuing a license that contravenes national security or foreign policy interests.

Definitions

• Appropriate Congressional Committees: House Foreign Affairs Committee and Senate Banking, Housing, and Urban Affairs Committee.
• Under Secretary: Under Secretary for Industry and Security, acting with input from the Secretary of State, the Secretary of Defense, and the Secretary of Energy (or their designees).

3. Who and what is affected

• Affected Parties: U.S. entities seeking licenses to export, reexport, or transfer controlled technology; the ultimate consignees or end users abroad; and U.S. policymakers and congressional committees with oversight over export controls.
• Agencies/Officials: Under Secretary of Industry and Security (with coordination from State, Defense, and Energy departments).

4. Procedural and timeline aspects

• Effective date: The act would commence with enactment (the reporting requirement references the date of enactment).
• Initial reporting: A 90-day report from enactment detailing implementation status and policy changes.
• Annual reporting: Beginning one year after enactment, annual reports to Congress detailing:
  • Number and details of initial licenses where other applications existed for the same end user/item.
  • Rationale for initial licenses granted under competitive conditions.
• No delay clause: The act preserves the prerogative to prioritize national security and foreign policy considerations, allowing licensing decisions to proceed even if they do not align with competitive expectations.

5. Potential impact and considerations

• Administrative Impact: Creates a new, enhanced screening dimension at the licensing stage to assess initial licenses against potential competition, potentially increasing data collection and reporting requirements for BIS.
• Market Competition: Aims to promote competition by examining whether multiple applicants seek licenses for the same end user and item, potentially encouraging more applicants or more efficient licensing for competitive items.
• National Security Balance: Maintains a safeguard clause ensuring that security and policy interests can override competitive pressures.

If you’d like, I can add a comparison with current ECRA provisions or outline potential questions lawmakers might ask during consideration.