American citizens are frustrated with seeing the United States being taken advantage of in international business transactions. They question why some have allowed foreign nations to engage in dishonest practices in our markets, and they reelected President Trump to assist in rebalancing the situation.

Throughout his initial term, President Trump focused on creating a fairer environment for American businesses and investors. He approved my legislation, the Holding Foreign Companies Accountable Act, to permit the Securities and Exchange Commission to remove Chinese firms from American stock exchanges if they refuse to provide transparency to our regulators.

It only makes sense. Chinese companies wanting to benefit from American investors should adhere to the same disclosure standards as American firms. Since the enactment of this bill by President Trump, Chinese companies have started to comply with American information sharing regulations. Authorities have already imposed hefty sanctions against Chinese entities and individuals who manipulated financial records or breached laws to the detriment of American investors.

Now, we have the chance to enhance this effort by preventing executives of foreign companies from exploiting our markets through insider trading.

Currently, American executives of publicly traded companies are required to inform investors about planned stock transactions in their own companies. In most cases, insiders must disclose this information at least 48 hours before they finalize the stock sale to give outside investors an opportunity to make decisions before the transaction is completed.

In the United States, insider trading is taken seriously, with numerous individuals being imprisoned annually for attempting to take advantage of the system. However, the existing regulations do not hold foreign investors to the same standards.

Foreign insiders, including Chinese and Russian executives, are not subject to the same disclosure requirements and SEC oversight as American executives when trading company stock. This discrepancy has resulted in significant financial losses for American investors to the advantage of foreign businessmen.

When American executives publicly disclose company stock sales, the average share price usually increases by 2 percent. In contrast, undisclosed trades by Chinese executives have preceded a 21 percent drop in share price, and those by Russian executives have led to a 26 percent decrease. Statistics from the Wharton School indicate that foreign executives have managed to evade losses exceeding $10 billion while American investors have suffered the consequences.

American investors are known for being bold and informed, and it is considered a privilege to access American markets. Yet, weak regulations enable foreign executives, many of whom hold negative sentiments towards the United States, to negatively impact American investors without facing repercussions.

It is essential to prevent foreign executives from deceiving American investors through insider trading. Americans seek a fair playing field, and it is imperative for Congress to respond.

Senator Chris Van Hollen (D-Md.) and I are reintroducing the Holding Foreign Insiders Accountable Act, which would require all executives to promptly disclose their trades regardless of their location. This legislation aims to provide American investors and SEC regulators with the opportunity to review transactions and make informed decisions.

A non-American passport should not exempt individuals from the consequences of insider trading on the American stock exchange. There is no valid reason for American executives to face stricter transparency standards compared to their foreign counterparts.

Let’s continue the progress made during Trump’s first term to safeguard American investors from foreign executives who disregard our markets. I encourage my congressional colleagues to join me in eliminating this double standard.

John Kennedy serves as the junior senator from Louisiana and is a member of the Senate Banking Committee.