Guillen’s Chinese Tech Ban Covers Gear From Any Chinese Citizen

The text as introduced · 700 words

89R15594 SRA-D

By: Guillen
H.B. No. 4516

A BILL TO BE ENTITLED

AN ACT

relating to prohibiting the use of Chinese technology to collect,

process, transfer, or store biometric, genetic, or medical data;

creating a criminal offense.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subtitle A, Title 11, Business & Commerce Code,

is amended by adding Chapter 511 to read as follows:

CHAPTER 511. PROTECTION OF BIOMETRIC, GENETIC, OR MEDICAL DATA

Sec. 511.001. DEFINITIONS. In this chapter:

(1) "Biometric data" and "genetic data" have the

meanings assigned by Section 509.001, as added by Chapter 963 (S.B.

2105), Acts of the 88th Legislature, Regular Session, 2023.

(2) "Medical data" means data created or obtained in

the course of providing health care services that relates to an

individual's past, present, or future physical or mental health.

(3) "Person owned by, controlled by, or subject to the

jurisdiction or direction of the People's Republic of China" means:

(A) a person who acts as an agent,

representative, or employee, or a person who acts in any other

capacity at the order, request, or under the direction or control,

of the People's Republic of China or of a person whose activities

are directly or indirectly supervised, directed, controlled,

financed, or subsidized in whole or in majority part by the People's

Republic of China;

(B) a person who is a citizen or resident of the

People's Republic of China or a country controlled by the People's

Republic of China and is not a United States citizen or permanent

resident of the United States;

(C) a corporation, partnership, association, or

other entity with a principal place of business in, headquartered

in, chartered or incorporated in, or otherwise organized under the

laws of the People's Republic of China or a country controlled by

the People's Republic of China; or

(D) a corporation, partnership, association, or

other entity that is owned or controlled by the People's Republic of

China, to include circumstances in which any person identified in

Paragraphs (A), (B), and (C) possesses the power, direct or

indirect, whether or not exercised, through the ownership of a

majority or a dominant minority of the total outstanding voting

interest in an entity, board representation, proxy voting, a

special share, contractual arrangements, formal or informal

arrangements to act in concert, or other means, to determine,

direct, or decide important matters affecting an entity.

Sec. 511.002. APPLICABILITY. This chapter applies only to

a person, including a business entity, that collects, processes,

transfers, or stores the biometric, genetic, or medical data of

residents of this state.

Sec. 511.003. PROHIBITED USE OF CHINESE TECHNOLOGY;

OFFENSE. (a) A person subject to this chapter may not use

technology designed, developed, manufactured, or supplied by

persons owned by, controlled by, or subject to the jurisdiction or

direction of the People's Republic of China to collect, process,

transfer, or store the biometric, genetic, or medical data of a

resident of this state.

(b) A person commits an offense if the person knowingly

violates Subsection (a).

(c) An offense under this section is a Class A misdemeanor,

except that the offense is a state jail felony if the actor has

previously been convicted of an offense under this section.

(d) For purposes of this section, an actor is presumed to

have knowingly violated Subsection (a) if it is shown on the trial

of the offense that the attorney general previously issued an

injunction against the actor under Section 511.004 and the actor

continued to engage in conduct in violation of Subsection (a).

Sec. 511.004. ENFORCEMENT BY ATTORNEY GENERAL: INJUNCTION.

If the attorney general believes that a person has violated or is

violating Section 511.003, the attorney general may bring an action

on behalf of the state to enjoin the person from violating that

section.

Sec. 511.005. NO PRIVATE RIGHT OF ACTION. This chapter does

not create a private right of action.

SECTION 2. It is the intent of the 89th Legislature, Regular

Session, 2025, that the amendments made by this Act be harmonized

with another Act of the 89th Legislature, Regular Session, 2025,

relating to nonsubstantive additions to and corrections in enacted

codes.

SECTION 3. This Act takes effect September 1, 2025.