Short title

This Act may be cited as the

Declaring Our Energy Independence from China Act of 2024

Findings; statement of policy

(a)

Findings

Congress makes the following findings:(1)The People’s Republic of China is the leading manufacturer of green energy goods and dominates the downstream supply chain, exerting more control over the global production of green energy than the Organization of the Petroleum Exporting Countries exerts over global oil production.(2)The Federal Government and State governments in the United States have imposed mandates and implemented policies to reduce carbon emissions and pursue objectives intended to mitigate climate change.(3)Mandates and policies intended to mitigate climate change undermine the energy independence of the United States and make the United States dependent on the People’s Republic of China for its energy needs. (b)

Statement of policy

It is the policy of the United States to establish energy independence from the People's Republic of China.

Definitions

In this Act:(1)

Green energy component

The term green energy component means a qualifying battery component, solar energy component, or wind energy component.(2)

Green energy good

The term green energy good means a battery cell, battery module, photovoltaic cell, solar module, or wind energy component. (3)

Other terms

The terms battery cell, battery module, qualifying battery component, photovoltaic cell, solar energy component, solar module, and wind energy component have the meanings given those terms in section 45X(c) of the Internal Revenue Code of 1986.

List of green energy components produced in the United States and imported from the People's Republic of China and other countries

Not later than 180 days after the date of the enactment of this Act, and annually thereafter, the United States International Trade Commission shall publish on a publicly accessible internet website of the Office of Industry and Competitive Analysis of the Commission a list of green energy components that includes the following:(1) The heading or subheading of the Harmonized Tariff Schedule of the United States under which each such component is classifiable.(2)The total volume and value of each such component produced in the United States. (3)The total volume and value of each such component imported into the United States from the People's Republic of China. (4)The total volume and value of each such component imported into the United States from any other country.

Imposition of duties with respect to green energy goods that originate in the People's Republic of China

(a)

In general

The President shall impose a duty, at a rate calculated under subsection (b), with respect to each green energy good that is imported into the United States and originates in the People's Republic of China.(b)

Calculation of rate

(1)

Rate

The rate of the duty imposed under subsection (a) is—(A)during the 12-month period beginning on the date that is 180 days after the date of the enactment of this Act, 25 percent ad valorem; and(B)during the 12-month period that begins on the day after the end of the 12-month period described in subparagraph (A), and each 12-month period thereafter until the date that is 5 years after such date of enactment—(i)the rate in effect for the preceding 12-month period; plus(ii)5 percent ad valorem.(2)

Valuation

For purposes of determining the amount of duty applicable under paragraph (1) with respect to a green energy good, the value of the goods shall be the price at which the same or a similar imported good is freely offered for sale, packed ready for delivery, in the principal market of the United States to all purchasers, at the time of exportation of the good, in the usual wholesale quantities and in the ordinary course of trade, with allowance made for duty, cost of transportation and insurance, and other necessary expenses from the place of shipment to the place of delivery.(c)

Rule of origin

(1)

In general

For purposes of this section, a green energy good originates in the People's Republic of China if the good is produced—(A)in the People’s Republic of China;(B)by an entity organized under the laws of, headquartered in, or with its principal place of business in the People’s Republic of China, without regard to the country in which that entity is located; or(C)by an entity with respect to which control is exercised by an entity described in subparagraph (B). (2)

Control defined

For purposes of paragraph (1)(C), the term control has the meaning given that term in section 800.208 of title 31, Code of Federal Regulations (as in effect on the day before the date of the enactment of this Act). (d)

Additional duties

A duty imposed under subsection (a) with respect to a green energy good shall be in addition to any other duties applicable to that component.(e)

Prohibition on use of emergency authority

The President may not exercise the authority provided under section 318(a) of the Tariff Act of 1930 (19 U.S.C. 1318(a)) to provide for the importation free of duty of any green energy good that originates in the People's Republic of China.

Report on industrial subsidies provided by the People's Republic of China

(a)

In general

Not later than 180 days after the date of the enactment of this Act, the United States Trade Representative shall submit to Congress a report assessing the extent to which the Government of the People's Republic of China has, during the 15-year period preceding such date of enactment, provided industrial subsidies to the battery, solar energy, and wind energy sectors of the People's Republic of China.(b)

Industrial subsidy defined

In this section, the term industrial subsidy includes, at a minimum, the following actions by a government for the benefit of an industry:(1)The direct transfer of funds, as with a grant, loan, or equity infusion. (2)The potential direct transfer of funds, as with a loan guarantee. (3)Foregoing or not collecting revenue that is otherwise due, as with tax credits or deductions from taxable income. (4)Providing preferential access to capital, land, or electricity.(5)Providing goods or services other than general infrastructure. (6)Purchasing goods.