[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2523 Introduced in House (IH)]
114th CONGRESS
1st Session
H. R. 2523
To make improvements to the antidumping and countervailing duty laws.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 21, 2015
Mr. Bost (for himself, Mr. Rodney Davis of Illinois, Mr. Crawford, Mr.
Murphy of Pennsylvania, Mr. Visclosky, Ms. Sewell of Alabama, Mr.
Rothfus, Mr. Rokita, Mr. Ryan of Ohio, Mr. Gibbs, Mr. Shimkus, Mr.
Johnson of Ohio, Mr. Nolan, Ms. Kaptur, Mr. Renacci, Mr. Rouzer, Mr.
Byrne, Mr. Flores, Mr. Barletta, Mr. Hudson, Mr. Gene Green of Texas,
Mr. Pittenger, and Mr. Kelly of Pennsylvania) introduced the following
bill; which was referred to the Committee on Ways and Means
_______________________________________________________________________
A BILL
To make improvements to the antidumping and countervailing duty laws.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``American Trade Enforcement
Effectiveness Act''.
SEC. 2. CONSEQUENCES OF FAILURE TO COOPERATE WITH A REQUEST FOR
INFORMATION IN A PROCEEDING.
Section 776 of the Tariff Act of 1930 (19 U.S.C. 1677e) is
amended--
(1) in subsection (b)--
(A) by redesignating paragraphs (1) through (4) as
subparagraphs (A) through (D), respectively, and by
moving such subparagraphs, as so redesignated, 2 ems to
the right;
(B) by striking ``Adverse Inferences.--If'' and
inserting the following: ``Adverse Inferences.--
``(1) In general.--If'';
(C) by striking ``under this title, may use'' and
inserting the following: ``under this title--
``(A) may use''; and
(D) by striking ``facts otherwise available. Such
adverse inference may include'' and inserting the
following: ``facts otherwise available; and
``(B) is not required to determine, or make any
adjustments to, a countervailable subsidy rate or
weighted average dumping margin based on any
assumptions about information the interested party
would have provided if the interested party had
complied with the request for information.
``(2) Potential sources of information for adverse
inferences.--An adverse inference under paragraph (1)(A) may
include'';
(2) in subsection (c)--
(A) by striking ``Corroboration of Secondary
Information.--When the'' and inserting the following:
``Corroboration of Secondary Information.--
``(1) In general.--Except as provided in paragraph (2),
when the''; and
(B) by adding at the end the following:
``(2) Exception.--The administrative authority and the
Commission shall not be required to corroborate any dumping
margin or countervailing duty applied in a separate segment of
the same proceeding.''; and
(3) by adding at the end the following:
``(d) Subsidy Rates and Dumping Margins in Adverse Inference
Determinations.--
``(1) In general.--If the administering authority uses an
inference that is adverse to the interests of a party under
subsection (b)(1)(A) in selecting among the facts otherwise
available, the administering authority may--
``(A) in the case of a countervailing duty
proceeding--
``(i) use a countervailable subsidy rate
applied for the same or similar program in a
countervailing duty proceeding involving the
same country, or
``(ii) if there is no same or similar
program, use a countervailable subsidy rate for
a subsidy program from a proceeding that the
administering authority considers reasonable to
use, and
``(B) in the case of an antidumping duty
proceeding, use any dumping margin from any segment of
the proceeding under the applicable antidumping order.
``(2) Discretion to apply highest rate.--In carrying out
paragraph (1), the administering authority may apply any of the
countervailable subsidy rates or dumping margins specified
under that paragraph, including the highest such rate or
margin, based on the evaluation by the administering authority
of the situation that resulted in the administering authority
using an adverse inference in selecting among the facts
otherwise available.
``(3) No obligation to make certain estimates or address
certain claims.--If the administering authority uses an adverse
inference under subsection (b)(1)(A) in selecting among the
facts otherwise available, the administering authority is not
required, for purposes of subsection (c) or for any other
purpose--
``(A) to estimate what the countervailable subsidy
rate or dumping margin would have been if the
interested party found to have failed to cooperate
under subsection (b)(1) had cooperated, or
``(B) to demonstrate that the countervailable
subsidy rate or dumping margin used by the
administering authority reflects an alleged commercial
reality of the interested party.''.
SEC. 3. DEFINITION OF MATERIAL INJURY.
(a) Effect of Profitability of Domestic Industries.--Section 771(7)
of the Tariff Act of 1930 (19 U.S.C. 1677(7)) is amended by adding at
the end the following:
``(J) Effect of profitability.--The Commission
shall not determine that there is no material injury or
threat of material injury to an industry in the United
States merely because that industry is profitable or
because the performance of that industry has recently
improved.''.
(b) Evaluation of Impact on Domestic Industry in Determination of
Material Injury.--Subclause (I) of section 771(7)(C)(iii) of the Tariff
Act of 1930 (19 U.S.C. 1677(7)(C)(iii)) is amended to read as follows:
``(I) actual and potential decline
in output, sales, market share, gross
profits, operating profits, net
profits, ability to service debt,
productivity, return on investments,
return on assets, and utilization of
capacity,''.
(c) Captive Production.--Section 771(7)(C)(iv) of the Tariff Act of
1930 (19 U.S.C. 1677(7)(C)(iv)) is amended--
(1) in subclause (I), by striking the comma and inserting
``, and'';
(2) in subclause (II), by striking ``, and'' and inserting
a comma; and
(3) by striking subclause (III).
SEC. 4. PARTICULAR MARKET SITUATION.
(a) Definition of Ordinary Course of Trade.--Section 771(15) of the
Tariff Act of 1930 (19 U.S.C. 1677(15)) is amended by adding at the end
the following:
``(C) Situations in which the administering
authority determines that the particular market
situation prevents a proper comparison with the export
price or constructed export price.''.
(b) Definition of Normal Value.--Section 773(a)(1)(B)(ii)(III) of
the Tariff Act of 1930 (19 U.S.C. 1677b(a)(1)(B)(ii)(III)) is amended
by striking ``in such other country.''.
(c) Definition of Constructed Value.--Section 773(e) of the Tariff
Act of 1930 (19 U.S.C. 1677b(e)) is amended--
(1) in paragraph (1), by striking ``business'' and
inserting ``trade''; and
(2) by striking the flush text at the end and inserting the
following:
``For purposes of paragraph (1), if a particular market situation
exists such that the cost of materials and fabrication or other
processing of any kind does not accurately reflect the cost of
production in the ordinary course of trade, the administering authority
may use another calculation methodology under this subtitle or any
other calculation methodology. For purposes of paragraph (1), the cost
of materials shall be determined without regard to any internal tax in
the exporting country imposed on such materials or their disposition
that is remitted or refunded upon exportation of the subject
merchandise produced from such materials.''.
SEC. 5. DISTORTION OF PRICES OR COSTS.
(a) Investigation of Below-Cost Sales.--Section 773(b)(2) of the
Tariff Act of 1930 (19 U.S.C. 1677b(b)(2)) is amended by striking
subparagraph (A) and inserting the following:
``(A) Reasonable grounds to believe or suspect.--
``(i) Review.--In a review conducted under
section 751 involving a specific exporter,
there are reasonable grounds to believe or
suspect that sales of the foreign like product
have been made at prices that are less than the
cost of production of the product if the
administering authority disregarded some or all
of the exporter's sales pursuant to paragraph
(1) in the investigation or, if a review has
been completed, in the most recently completed
review.
``(ii) Requests for information.--In an
investigation initiated under section 732 or a
review conducted under section 751, the
administering authority shall request
information necessary to calculate the
constructed value and cost of production under
subsections (e) and (f) to determine whether
there are reasonable grounds to believe or
suspect that sales of the foreign like product
have been made at prices that represent less
than the cost of production of the product.''.
(b) Prices and Costs in Nonmarket Economies.--Section 773(c) of the
Tariff Act of 1930 (19 U.S.C. 1677b(c)) is amended by adding at the end
the following:
``(5) Discretion to disregard certain price or cost
values.--In valuing the factors of production under paragraph
(1) for the subject merchandise, the administering authority
may disregard price or cost values without further
investigation if the administering authority has determined
that broadly available export subsidies existed or particular
instances of subsidization occurred with respect to those price
or cost values or if those price or cost values were subject to
an antidumping order.''.
SEC. 6. REDUCTION IN BURDEN ON DEPARTMENT OF COMMERCE BY REDUCING THE
NUMBER OF VOLUNTARY RESPONDENTS.
Section 782(a) of the Tariff Act of 1930 (19 U.S.C. 1677m(a)) is
amended--
(1) in paragraph (1), by redesignating subparagraphs (A)
and (B) as clauses (i) and (ii), respectively, and by moving
such clauses, as so redesignated, 2 ems to the right;
(2) by redesignating paragraphs (1) and (2) as
subparagraphs (A) and (B), respectively, and by moving such
subparagraphs, as so redesignated, 2 ems to the right;
(3) by striking ``Investigations and Reviews.--In'' and
inserting the following: ``Investigations and Reviews.--
``(1) In general.--In'';
(4) in paragraph (1), as designated by paragraph (3), by
amending subparagraph (B), as redesignated by paragraph (2), to
read as follows:
``(B) the number of exporters or producers subject
to the investigation or review is not so large that any
additional individual examination of such exporters or
producers would be unduly burdensome to the
administering authority and inhibit the timely
completion of the investigation or review.''; and
(5) by adding at the end the following:
``(2) Determination of unduly burdensome.--In determining
if an individual examination under paragraph (1)(B) would be
unduly burdensome, the administering authority may consider the
following:
``(A) The complexity of the issues or information
presented in the proceeding, including questionnaires
and any responses thereto.
``(B) Any prior experience of the administering
authority in the same or similar proceeding.
``(C) The total number of investigations under
subtitle A or B and reviews under section 751 being
conducted by the administering authority as of the date
of the determination.
``(D) Such other factors relating to the timely
completion of each such investigation and review as the
administering authority considers appropriate.''.
SEC. 7. APPLICATION TO CANADA AND MEXICO.
Pursuant to article 1902 of the North American Free Trade Agreement
and section 408 of the North American Free Trade Agreement
Implementation Act (19 U.S.C. 3438), the amendments made by this Act
shall apply with respect to goods from Canada and Mexico.
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