To ensure the alignment of economic and foreign policies, to position the Department of State to reflect that economic security is national security, and for other purposes.

This bill seeks to fundamentally align U.S. economic and foreign policy by placing economics at the center of diplomacy within the State Department. It creates a new top-level official, the Under Secretary for Economic Affairs, who would oversee a broad portfolio including economic growth, energy, technology policy, science and space, critical minerals, natural resources, sanctions, and related duties. The bill also establishes a Chief Economist and several new senior offices (e.g., Assistant Secretaries for Commercial Diplomacy, Water/Environment/Space Affairs, Energy Security and Diplomacy, and Sanctions Policy) and corresponding bureaus to house specialized functions. In addition, it creates a Subnational Diplomacy Office to engage U.S. states and localities in foreign policy and investment efforts. The proposal would reallocate and expand authority and resources within the Department of State (and modify related programs such as the CHIPS Act’s International Technology Security and Innovation Fund) to reflect that economic security is national security. The overall aim is to institutionalize a coordinated, economics-focused approach to foreign policy—strengthening supply chains, promoting U.S. trade and investment abroad, advancing energy and mineral security, coordinating sanctions policy, and integrating environmental, space, and technology considerations into diplomacy. If enacted, the bill would entail significant organizational changes, expanded roles for several undersecretaries and assistants, new reporting requirements, and targeted funding for the 2026-2027 fiscal years.