Modification of competitive need limitation

(a)

Modification

Section 503 of the Trade Act of 1974 (19 U.S.C. 2463) is amended—(1)in subsection (c)(2)(A)(i)—(A)by striking after December 31, 1995— (I) a quantity and inserting after December 31, 1995, a quantity; and(B)by striking calendar year, or and all that follows through the President shall, and inserting calendar year, the President shall,;(2)in subsection (c)(2)(A)(ii)—(A)in subclause (I), by striking for 1996, $75,000,000 and inserting for calendar year 2023, $600,000,000; and(B)in subclause (II), by striking $5,000,000 and inserting 5 percent of such applicable amount;(3)in subsection (c)(2)(C), by striking may, subject and inserting should, subject;(4)by striking subsection (c)(2)(E) and subsection (c)(2)(F);(5)by inserting after subsection (c)(2)(D) the following new subparagraph:

(E)

Calculation of limitations

There shall be counted against the limitations imposed under subparagraph (A) for any calendar year only that value of any eligible article of a beneficiary developing country that entered duty-free under this title during such calendar year.

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(6)in subsection (d)(1), by striking if, before and all that follows through the President and inserting if the President; and(7)in subsection (d)(4)(B)(ii)—(A)in subclause (I), by striking ; or and inserting a period; (B)in the matter preceding subclause (I), by striking a quantity of the article—(I) having an appraised value and inserting a quantity of the article having an appraised value; and(C)by striking subclause (II).(b)

Applicability

(1)

In general

The amendments made by subsection (a) shall take effect on the date of the enactment of this Act.(2)

Restoration of duty-free treatment

(A)

List required

Not later than 120 days after the date of the enactment of this Act, the President shall—(i)list each article with respect to which such treatment was eliminated pursuant to subsection (c) of section 503 of the Trade Act of 1974, as in effect on December 31, 2020, that is eligible for such treatment pursuant to such section 503 as amended by this Act; and(ii)determine, with respect to each such article, whether the article is a potentially sensitive product that warrants review pursuant to subsection (c)(1) of such section 503 for the continued withholding of duty-free treatment.(B)

Prompt restoration

Except for articles for which the President makes an affirmative determination pursuant to subparagraph (A)(ii), the President shall restore duty-free treatment to each article included in the list described in subparagraph (A)(i) on such 120th day after date of enactment.(3)

Expedited review of certain articles for exclusion from duty-free treatment

The President shall review, pursuant to section 503(c)(1) of the Trade Act of 1974 (19 U.S.C. 2463(c)(1)), whether duty-free treatment should continue to be withheld from each article for which the President makes an affirmative determination pursuant to paragraph (2)(A)(ii). Not later than 1 year after the date of the enactment of this Act, the President shall restore duty-free treatment to each article for which such review determines that such treatment should not be withheld.(4)

Reports

Not later than 1 year after the date of the enactment of this Act, the President shall submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate a report containing—(A)the results of the reviews conducted pursuant to paragraph (3); and(B)justifications for the reasons for which duty-free treatment was withheld or restored with respect to articles described in such paragraph.