; penalties (1) Implementation The President may exercise the authorities provided to the President under sections 203 and 205 of the International Emergency Economic Powers Act (50 U.S.C. 1702 and 1704) to the extent necessary to carry out this section. (2) Penalties A person that violates, attempts to violate, conspires to violate, or causes a violation of subsection (a) or any regulation, license, or order issued to carry out that subsection shall be subject to the penalties set forth in subsections (b) and (c) of section 206 of the International Emergency Economic Powers Act ( 50 U.S.C. 1705 ) to the same extent as a person that commits an unlawful act described in subsection (a) of that section. (3) Procedures and guidelines for sanctions The President shall establish procedures and guidelines for the implementation and enforcement of sanctions imposed under this section. (4) Annual report (A) Unless the exception in subparagraph (B) applies, not later than one year after the date of the enactment of this Act, and for each of the 5 years thereafter, the President shall submit to the appropriate congressional committees a report on any notable developments regarding economic or industrial espionage activities by foreign persons. (B) The President shall not be required to submit the annual report described by subparagraph (A) if the President has imposed sanctions as authorized under this section within the previous calendar year. (g) Rule of construction For purposes of this section, a transaction shall not be construed to include participation in an international standards-setting body or the activities of such a body. 5. Clarifying amendments Section 203 of the International Emergency Economic Powers Act ( 50 U.S.C. 1702 ) is amended— (1) in subsection (b)— (A) in the matter preceding paragraph (1), by striking , directly or indirectly