II 109th CONGRESS 2d Session S. 3548 IN THE SENATE OF THE UNITED STATES June 21, 2006 Mr. Conrad (for himself, Mr. Roberts, Mr. Burns, Mr. Baucus, Mr. Dorgan, Mr. Brownback, Mr. Salazar, Mr. Allard, Mr. Johnson, Mr. Thune, Mrs. Lincoln, Mr. Enzi, Mr. Dayton, Mr. Thomas, Mr. Craig, Mr. Coleman, and Mr. Talent) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To authorize appropriate action if negotiations with Japan to allow the resumption of United States beef exports are not successful, and for other purposes.

1.

Findings

Congress finds that— (1)the United States cattle industry produces abundant, safe, and healthful food for consumers in the United States and around the world; (2)Japan prohibited imports of beef from the United States during the period beginning December 2003 and ending December 2005, after a single case of Bovine Spongiform Encephalopathy (BSE, or mad cow disease) was found in a Canadian-born animal in Washington State; (3)the United States has implemented and maintained a BSE surveillance and safeguard program that exceeds the internationally recognized standards of the World Organization for Animal Health (OIE) for BSE control, eradication, and testing to protect human and animal health; (4)the United States and the Government of Japan concluded an agreement on December 12, 2005, that established the conditions under which beef exports to Japan could resume; (5)as a result of errors by a single United States exporter certified to sell beef to Japan and inadequate oversight by the Department of Agriculture, a single shipment of United States beef was found to be noncompliant with the terms of the agreement resulting in a suspension of all United States beef exports to Japan; (6)the United States has taken substantive corrective actions to ensure that United States beef exports to Japan are in full compliance with the terms of the agreement, fully disclosed the actions taken to the Government of Japan, and allowed Japanese officials the opportunity to review those actions and personally inspect and determine the eligibility of all United States beef processing plants certified for the export of beef to Japan; (7)notwithstanding the membership of Japan in the OIE and the commitment of Japan under the Agreement on the Application of Sanitary and Phytosanitary Measures of the World Trade Organization to apply sanitary and phytosanitary measures only to the extent necessary to protect human, animal, and plant health, based on scientific principles, Japan continues to maintain an unjustified suspension of imports of United States beef; and (8)the continued violation by Japan of the spirit and letter of the World Trade Organization commitments of Japan has resulted in the cumulative economic loss to the United States beef industry of approximately $6,300,000,000 and current annual economic trade losses of $3,140,000,000 per year.

2.

Negotiations and certification regarding United States beef exports to Japan

(a)

In general

Notwithstanding any other provision of law, not later than August 31, 2006, the United States Trade Representative shall submit to Congress a certification described in subsection (b). (b)

Certification

The certification described in this subsection means a certification by the United States Trade Representative to Congress that Japan is no longer prohibiting the importation of beef from the United States. (c)

Additional tariffs

(1)

In general

If the certification described in subsection (b) is not made, the Secretary of the Treasury shall, not later than September 30, 2006, impose additional tariffs on selected articles that are grown by, the products of, or manufactured by Japan and that enter the customs territory of the United States, in addition to any other duty that would otherwise apply to the articles. (2)

Amount

The additional tariffs shall be applied to the articles in an amount sufficient, in the aggregate, to result in additional tariffs being imposed on imports of articles from Japan in an amount equal to $3,140,000,000 annually. (3)

Duration

The additional tariffs imposed by this section shall terminate on the date that a certification described in subsection (b) is submitted to Congress. (d)

Negotiations

Beginning on the date of enactment of this Act, the Secretary of Agriculture, in consultation with the United States Trade Representative, shall expedite negotiations with Japan to ensure that Japan adopts a process that leads to the elimination of the prohibition by Japan on imports of beef from the United States.