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17, 2025) - South Carolina Legislature Online South Carolina General Assembly126th Session, 2025-2026Bill 4697Indicates Matter StrickenIndicates New Matter(Text matches printed bills.
Document has been reformatted to meet World Wide Web specifications.) A bill TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING ARTICLE TO CHAPTER 1, TITLE 1 SO AS TO PROHIBIT ALL STATE AGENCIES AND INSTITUTIONS AND ALL POLITICAL SUBDIVISIONS OF THE STATE FROM INVESTING, CONTRACTING, OR EXPENDING ANY PUBLIC FUNDS WITH CHINESE COMPANIES, AND TO PROHIBIT CERTAIN INCENTIVES FROM BEING AWARDED TO CHINESE COMPANIES.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Chapter 1, Title 1 of the S.C.
Code is amended by adding:
Article 29 Prohibition on Investments and Expenditures on China Section 1-1-1910. (A) Notwithstanding any other provision of law, no state agency or institution thereof, including the State Treasurer and the Retirement System Investment Commission, nor any political subdivision of this State, including school districts, may invest any public funds, in any manner, in Chinese companies.
(B) Notwithstanding any other provision of law, no state agency or institution thereof, or political subdivision of this State, including school districts, may contract with or expend any public funds with Chinese companies.
(C) Notwithstanding any other provision of law, the Department of Commerce, including any division thereof, may not offer or award any incentive or development grant to any Chinese company. Further, any company who is offered or awarded incentives from the Department of Commerce must sign a statement agreeing that the company will not contract with any company prohibited from receiving an incentive or grant pursuant to this subsection.
(D) For purposes of this section:
(1) "Chinese company" means any company or development:
(a) owned or controlled by a company that is owned, in whole or in part, by, or is a subsidiary of, a company that is owned by the People's Republic of China or the Chinese Communist Party;
or (b) whose principal place of business is located within the People's Republic of China.
(2) "Chinese Communist Party" includes all agencies, institutions, and instrumentalities of the Chinese Communist Party;
(3) "Incentive" or "development grant" means tax credits, deductions, exemptions, exclusions, fees in lieu of taxes, monetary benefits, subsidies, rebates, information required by the Governmental Accounting Standards Board regarding economic incentives, awards from the Governor's Closing Fund, assistance from the State provided on a discretionary basis to attract or retain business operations, and other preferential tax benefits given to businesses for the purpose of recruitment.
(4) "People's Republic of China" includes all agencies, institutions, instrumentalities, and political subdivisions of the People's Republic of China.
SECTION 2. This act takes effect upon approval by the Governor.
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