(Washington, D.C.) - Today, Chairman Brian Babin (R-TX) of the House Committee on Science, Space, and Technology, Chairman John Moolenaar (R-MI) of the House Select Committee on the Strategic Competition Between the United States and the Chinese Communist Party (CCP), and Chairman Roger Williams (R-TX) of the House Committee on Small Business, sent letters to 11 federal agencies pressing them to examine potential vulnerabilities within their Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs that global competitors might exploit. Strengthening these safeguards is essential to protecting American small businesses' innovations and preventing foreign adversaries, including the CCP, from capitalizing on their advancements.
"Our nation’s SBIR and STTR programs are vital programs that empower small businesses across the country to innovate and grow by providing crucial federal funding for technology development," said Chairman Babin. "However, it is unacceptable that these programs—designed to support American businesses and further our research— could be exploited by the CCP, undermining our homegrown innovation and talent. Moving forward, Congress must collaborate with federal agencies to strengthen research security, enhance transparency, and ensure greater oversight. If we want to maintain our leadership in science and technology, especially with the contributions of our nation’s small businesses, these measures are essential."
“China has systematically exploited American innovation to advance its military and economic objectives, threatening our national security and global competitiveness,” said Chairman Moolenaar. “Our collaboration with the Small Business and Science, Space, and Technology Committees marks a significant first step in protecting the future of American innovation and ensuring that SBIR and STTR funds are used to support our small businesses, not our adversaries. The severity of this issue demands a full investigation to protect American technology funded by our hard-earned tax dollars and prevent further exploitation by foreign adversaries."
“Small businesses are the backbone of innovation, driving economic growth and strengthening American competitiveness on the world stage,” said Chairman Williams. “The SBIR and STTR programs help drive the groundbreaking advancements of Main Street America by funding small business development of cutting-edge technology. Unfortunately, a serious lack of oversight of these programs has allowed the CCP to target strategic innovations and extract sensitive information, putting our national security at risk. We stand ready to work with these federal agencies to safeguard American innovation and put Main Street America above our foreign adversaries.”
Read a copy of the letter to one of the agencies here.
Read more from Bloomberg here: Lawmakers Probe Alleged China Abuse of US Programs for Startups