China ‘ripping off’ American businesses – but the DOJ can fight them, GOP lawmaker says

Rep. Ashley Hinson, R-Iowa, says it’s time to give the Department of Justice the tools it needs to tackle China’s trade crimes. The congresswoman’s Protecting American Industry and Labor from International Trade Crimes Act has bipartisan support as both Democrats and Republicans look to stop threats posed by China.

China-based companies have been accused of stealing American businesses’ intellectual property (IP) and flooding the market with cheaper versions of their products, which are often low quality. Chinese companies have also allegedly committed trade crimes through transnational shipping, which involves the shipping of products to another country to evade U.S. tariffs.

“This is about protecting America’s bottom line, because the bottom line is China has been ripping off our businesses and our workers for decades,” Rep. Hinson told Fox News Digital. “You know, we talk a lot about the tariffs and the penalties that exist for those who go around our laws, but we also have to back that up with enforcement of our laws.”

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Hinson’s legislation would establish a DOJ task force focused on investigating and prosecuting trade-related crimes, creating a mechanism for enforcing U.S. law.

One of the companies that is grappling with the effects of Chinese IP theft is CQ Medical, which focuses on radiotherapy and healthcare innovations. A China-based company with U.S. headquarters in Ohio has allegedly been undercutting CQ Medical by offering lower-quality products at two-thirds of the price. According to a statement from CQ Medical, the China-based company is using “nearly identical” product names, which has led to consumer confusion.

“And this is stuff that really can help our hospitals to properly treat cancers with radiation therapy. So, when you are undercutting an American company that is doing the research and development they’re facing now, an unfair competitive advantage from a China-based company that is stealing that intellectual property,” Hinson said to Fox News Digital.

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Hinson says the problems facing CQ Medical are “at the heart of what we need to push back on” when it comes to tackling China’s IP theft practices and trade crimes.

The Iowa congresswoman emphasized the need to “push back” on “unfair and illicit trade practices” to protect American companies and consumers. In the case of CQ Medical, the products produced by its Chinese competitor put patients at risk because of their low quality. They also put American workers at risk of not seeing job opportunities here at home.

“You look at rural America and the impact that a company like CQ Medical has. They’re creating those jobs, and they’re bringing people to places like Iowa and Pennsylvania. And when you look at the footprint that they have, they want to grow and expand in places here at home,” Hinson told Fox News Digital. 

Hinson explained to Fox News Digital that CQ Medical is the tip of the iceberg, and Chinese trade crimes are costing America’s economy “hundreds of billions if not trillions of dollars a year” by offering products at extremely reduced prices.

The Protecting American Industry and Labor from International Trade Crimes Act passed the House in December 2024. However, the congresswoman is reintroducing it in the current congressional session in the hopes of it becoming law.