The U.S. will spend billions more dollars upgrading its military to counter China in the Indo-Pacific region while bolstering ties with Taiwan, according to a Senate bill expected to be introduced Wednesday.

The bill sets aside money for the U.S. to "promote democracy in Hong Kong" and requires the State Department to report on "the extent to which the government of China uses the status of Hong Kong to circumvent the laws and protections of the U.S."

The legislation has the support of President Joe Biden, South China Morning Post and others reported Friday.

The bill emphasizes the need to "prioritize the military investments necessary to achieve U.S political objectives in the Indo-Pacific."

It seeks an increase in spending and directs Congress to ensure the money is "properly aligned" with the bill's strategic anti-China imperatives.

The bill calls for closer ties with Taiwan which is under pressure from China. The bill described Taiwan "a vital part of the U.S. Indo-Pacific strategy."

It said there should be no limits on U.S. relations with Taiwan counterparts. The U.S. will also encourage its international allies to do more to restrict China's "aggressive and assertive behavior."

The U.S. will designate a senior official in each federal department and agency to coordinate policies that involve strategic competition with China. "The U.S. must ensure all federal departments and agencies are organized to reflect the fact that strategic competition with China is the U.S.'s top foreign policy priority," according to the draft legislation.

The law, if passed, will address economic and military competition with China. It champions humanitarian and democratic values and speaks of China's treatment of minority Muslim Uyghurs, the suppression of democratic dissent in Hong Kong and counters China's territorial claims in the South China Sea.

The U.S. will be required to limit assistance to countries hosting China's military. It said China used its Belt and Road Initiative to advance its security interests and facilitate military access.