In a bipartisan move, the US House of Representatives on Monday passed the Taiwan Conflict Deterrence Act, a legislation aimed at discouraging China from attacking Taiwan by exposing the financial holdings and potential corruption of senior Chinese Communist Party (CCP) officials in the event of such aggression.

The bill, introduced in February by Democrat Brad Sherman and Republican Lisa McClain, specifically targets high-ranking Chinese officials, especially those in the CCP’s Politburo Standing Committee and others directly involved in Taiwan-related decision-making.

If enacted, the law would require the US Treasury Department to publicly disclose the overseas financial assets and bank accounts of these officials and their immediate family members.

According to a report by the news agency CNA, the bill obliges the treasury secretary to compile and release a report naming financial institutions and accounts linked to senior CCP officials. It would also impose restrictions on large financial transactions involving their families.

The summary of this report must be made publicly available on official US Treasury websites in both English and Chinese.

“This bill sends a clear and bipartisan message: if the CCP launches war against Taiwan, there will be consequences,” McClain stated during the bill’s voice vote, according to news agency ANI.

“We are talking about actual, specific actions against corrupt CCP elites, whose financial dealings and overseas accounts are disclosed and made available for the Chinese public,” she added.

McClain also highlighted Taiwan’s crucial role in global supply chains, particularly in semiconductors, and emphasised its importance as a democratic partner. “The United States cannot be complacent in the face of rising Chinese aggression,” she said. “The peace of the Indo-Pacific region is most directly connected to American economic and strategic interests.”

The bill now awaits approval in the US Senate before it can be signed into law by the President. A similar version had previously cleared the House unanimously during the last session.

The development comes amid increasing Chinese military activity near Taiwan. On Tuesday, Taiwan’s Ministry of National Defence reported that eight Chinese naval vessels and two official boats were operating close to the island.

Though no Chinese military aircraft were spotted that day, the ministry noted that the previous day, one aircraft had crossed the Taiwan Strait median line and entered Taiwan’s northern air defence identification zone.

Meanwhile, Taiwan’s Vice President Hsiao Bi-khim reaffirmed the country’s commitment to national defence. “Taiwan does not exist in isolation,” she said during a meeting with foreign diplomats and correspondents, as quoted by the Taipei Times. “We work in the midst of one of the world’s most vibrant and contested geopolitical spaces.”

Hsiao stated that China’s posture had grown more aggressive since President William Lai assumed office in May 2024, pointing to military intimidation, grey-zone tactics, and economic coercion. “As a way of deterring such risks, we are transforming and integrating our national defence strategy, based not just on military modernisation, but on the resilience of our entire society,” she said.

As regional tensions rise, the recently concluded Talisman Sabre 2025 military exercise in Australia underscored the growing solidarity among allies in deterring Chinese aggression.

The joint exercise featured amphibious landings, airborne operations, and live-fire drills, including deployment of the US Army’s Typhon missile system, in scenarios designed to mirror China’s military capabilities.

Although the US Army stated the drills were not directed at any specific country, senior US military leaders acknowledged the deterrence signal being sent. “To be able to deliver an infantry battalion with its command directly onto a drop zone 7,000 miles away should frighten enemies,” Colonel Brian Weightman of the 11th Airborne Division told ANI.