US SB3640

Secretary of Treasury must add entities identified as Chinese military companies by the Secretary of Defense to the Non-SDN Chinese Military-Industrial Complex Companies (NS-CMIC) List within 90 days of identification

Prohibitions under Executive Order 13959 take effect 60 days after an entity is added to the NS-CMIC List, restricting U.S. persons from purchasing or selling securities of these companies

U.S. investors receive a one-year divestment period after a company is listed, during which they may buy or sell securities solely to divest their holdings

Aligns Treasury Department sanctions with Department of Defense restrictions on Chinese military companies, which prohibit new DoD contracts starting June 30, 2026 and indirect purchases through third parties starting June 30, 2027

Applies to entities owned by, controlled by, or acting on behalf of the People's Liberation Army, Ministry of State Security, Central Military Commission, or other Chinese government defense and security organizations