Washington, D.C. — U.S. Senator Ted Budd (R-N.C.), a member of the Senate Armed Services Committee, introduced the Military Installation Retail Security Act to prohibit the Department of Defense (DoD) from authorizing, renewing, or extending long-term retail agreements with companies owned or controlled by adversarial nations on U.S. military bases. The legislation also requires the review of all retail stores on military bases nationwide to determine if there are foreign ties to China, Russia, Iran, or North Korea.
Senators Tom Cotton (R-Ark.) and Rick Scott (R-Fla.) joined Senator Budd in introducing the bill. Congressman Pat Harrigan (R-N.C.-10) introduced the companion legislation in the House of Representatives.
“Our military readiness depends upon security and surveillance. Adversarial nations have no place owning and operating businesses on U.S. military bases, all the while gaining personal identification information of American citizens, just to turn a profit. That is why I am proud to introduce the Military Installation Retail Security Act, to close this loophole by taking targeted action to prevent malign actors from embedding themselves within our military communities where they can threaten our national security and exploit personal data,” said Senator Budd.
“We shouldn’t be allowing Chinese-affiliated companies in the United States, let alone on our military bases. This bill will ensure our adversaries can’t exploit our military,” said Senator Cotton.
“Allowing companies controlled by our biggest foreign adversaries – like Communist China, Russia, and North Korea – to operate on U.S. military bases is a completely unacceptable threat to our national security that risks an enemy gaining sensitive personal and military data. The Military Installation Retail Security Act will close the loopholes that allow these bad actors to gain footholds within our military communities, ensuring that our military bases remain secure, and that foreign enemies aren’t profiting off our service members and their families. This should be common sense, and I urge my colleagues to support its quick passage,” said Senator Scott.
“My team uncovered that GNC is fully owned by the Chinese Communist Party and operating more than 80 stores on U.S. military bases. That’s not just a problem; it’s a direct threat to our national security. We moved quickly to get a solution on the table and introduced the Military Installation Retail Security Act in the House. I’m glad to have Senator Budd step in to help drive this forward and make sure CCP-owned companies have zero place inside America’s military infrastructure,” said Congressman Harrigan.
Read the full bill text HERE.
Background
Retail stores on U.S. military bases gain direct and prolonged access to our nation’s servicemembers and their families while operating in a sensitive base environment, which creates serious risks for surveillance. This gives companies, owned by foreign adversaries, unprecedented access to personally identifiable information such as names, payment methods, and purchase history.
GNC—which started as a small, family-owned health-food store in Pittsburgh in 1935—was bought by the Chinese state-owned Harbin Pharmaceutical Group after the supplement retailer filed for bankruptcy in 2020. Currently, this Chinese-owned company operates over 80 locations on U.S. military bases.
On base at North Carolina’s Fort Bragg, GNC operates several storefronts serving 53,700 troops, who make up nearly 10 percent of the U.S. Army alone.
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