This bill addresses the growing influence of the People's Republic of China (PRC) through its arms sales, which are identified as a key element of its military power and geopolitical strategy. Congress finds that the PRC uses these sales to improve the image of the People's Liberation Army, acquire performance data, exacerbate tensions, and build relationships with other nations, among other strategic interests. The legislation mandates the Secretary of Defense, in coordination with the Secretary of State, to submit an annual report to Congress. This report must analyze various aspects of PRC arms sales, including the types and capabilities of weapons systems, their impact on regional power balances, potential security risks, and the factors that incentivize countries to procure them. It also requires an assessment of future developments and the PRC's overall arms sales strategy, with the report being unclassified but including a classified annex with intelligence assessments. Furthermore, the bill directs the Secretary of State, in coordination with the Secretary of Defense, to develop a comprehensive strategy within one year to dissuade countries from purchasing new weapons systems from the PRC. This strategy will include an information campaign to warn potential buyers about the risks associated with Chinese weapons, such as reliability issues and integration difficulties with U.S. systems. It also requires identifying actions the United States can take to make its own defense equipment more attractive and exploring the use of sanctions or export controls as deterrents. The strategy must also outline plans to ensure U.S. defense firms are competitive at expositions, combat Chinese disinformation, and coordinate closely with Congress. The Secretary of State is required to submit a report detailing this strategy and its implementation plan to the appropriate congressional committees.