article: SECTION 1. EXPORT-IMPORT BANK ASSISTANCE FOR EXPORTS TO CHINA CONDITIONED ON ADHERENCE TO CODE OF CONDUCT. (a) In General.--Section 2(b) of the Export-Import Bank Act of 1945 (12 U.S.C. 635(b)) is amended by adding at the end the following: ``(f) Assistance for Exports to China Conditioned Upon Adherence to Code of Conduct.-- ``(1) Prohibitions.-- ``(A) Pre-assistance condition.--The Bank shall not guarantee, insure, extend credit, or participate in the extension of credit to an entity with respect to the export of any good or service destined for the People's Republic of China unless the Board of Directors determines that the entity has established and is adhering to the code of conduct set forth in paragraph (2). ``(B) Penalty for violation.--The Bank shall withdraw any guarantee, insurance, or credit that the Bank has provided, and shall withdraw from any participation in an extension of credit, to an entity with respect to the export of any good or service destined for the People's Republic of China if the Board of Directors determines that the entity is not adhering to the code of conduct set forth in paragraph (2). ``(2) Code of conduct.--An entity shall do all of the following in all of its operations: ``(A) Provide a safe and healthy workplace. ``(B) Ensure fair employment, including by-- ``(i) avoiding child and forced labor, and discrimination based upon race, gender, national origin, or religious beliefs; ``(ii) respecting freedom of association and the right to organize and bargain collectively; ``(iii) paying not less than the minimum wage required by law or the prevailing industry wage, whichever is higher; and ``(iv) providing all legally mandated benefits. ``(C) Obey all applicable environmental laws. ``(D) Comply with United States and local laws promoting good business practices, including laws prohibiting illicit payments and ensuring fair competition. ``(E) Maintain, through leadership at all levels, a corporate culture-- ``(i) which respects free expression consistent with legitimate business concerns, and does not condone political coercion in the workplace; ``(ii) which encourages good corporate citizenship and makes a positive contribution to the communities in which the entity operates; and ``(iii) in which ethical conduct is recognized, valued, and exemplified by all employees. ``(F) Require similar behavior by partners, suppliers, and subcontractors under terms of contracts. ``(G) Implement and monitor compliance with the subparagraphs (A) through (F) through a program that is designed to prevent and detect noncompliance by any employee or supplier of the entity and that includes-- ``(i) standards for ethical conduct of employees of the entity and of suppliers which refer to the subparagraphs; ``(ii) procedures for assignment of appropriately qualified personnel at the management level to monitor and enforce compliance; ``(iii) procedures for reporting noncompliance by employees and suppliers; ``(iv) procedures for selecting qualified individuals who are not employees of the entity or of suppliers to monitor compliance, and for assessing the effectiveness of such compliance monitoring; ``(v) procedures for disciplinary action in response to noncompliance; ``(vi) procedures designed to ensure that, in cases in which noncompliance is detected, reasonable steps are taken to correct the noncompliance and prevent similar noncompliance from occurring; and ``(vii) communication of all standards and procedures with respect to the code of conduct to every employee and supplier-- ``(I) by requiring all management level employees and suppliers to participate in a training program; or ``(II) by disseminating information orally and in writing, through posting of an explanation of the standards and procedures in prominent places sufficient to inform all employees and suppliers, in the local languages spoken by employees and managers. ``(3) Small business exception.--This subsection shall not apply to an entity that is a small business (within the meaning of the Small Business Act).''. (b) Annual Report.--Section 2(b)(1)(A) of such Act (12 U.S.C. 635(b)(1)(A)) is amended by adding at the end the following: ``The Bank shall include in the annual report a description of the actions the Bank has taken to comply with subsection (f) during the period covered by the report.''. (c) Sense of the Congress.--It is the sense of the Congress that the Export-Import Bank of the United States and the Clearinghouse on Corporate Responsibility that is being developed by the Department of Commerce should work together to ensure that businesses are made aware of, and have access to, resources and organizations that can assist businesses in developing, implementing, and monitoring global codes of corporate conduct.
summary: Amends the Export-Import Bank Act of 1945 to prohibit the Export-Import Bank of the United States from guaranteeing, insuring, or extending credit to an entity (except a small business) with respect to the export of any good or service to China unless the Board of Directors of the Bank determines that such entity is adhering to certain environmental and fair employment principles under a corporate code of conduct. Expresses the sense of the Congress that the Bank and the Clearinghouse on Corporate Responsibility that is being developed by the Department of Commerce should work together to ensure that businesses are made aware of, and have access to, resources and organizations that can assist them in developing and monitoring global codes of corporate conduct.