118 S3198 IS: Foreign Pollution Fee Act of 2023
U.S. Senate
2023-11-02
text/xml
EN
Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
1.This Act may be cited as the Foreign Pollution Fee Act of 2023
.2.Sense of Congress; purpose(a)It is the sense of Congress that—(1)it is in the interests of the United States to strive for environmental protection in order to protect human health;(2)the nature of environmental challenges are transnational in nature, but international cooperative efforts, including those led by the United States, have not resulted in many trading partners adopting measures to address those challenges;(3)the transnational issues related to environmental protection and pollution impact the environment and public health in the United States and in turn present national security risks because of the environmental and public health risks;(4)the United States—(A)has adopted many environmental protections, including the Clean Air Act (42 U.S.C. 7401 et seq.), the Federal Water Pollution Control Act (33 U.S.C. 1251 et seq.), the Toxic Substances Control Act (15 U.S.C. 2601 et seq.), and more than 15 other major environmental protection laws that—(i)add costs to the production of goods in order to secure the benefits of environmental protection and conservation efforts; and(ii)serve to meaningfully decrease greenhouse gasses such as carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), sulfur hexafluoride (SF6), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), and other fluorinated greenhouse gases;(B)is the world’s largest consumer market and its economy is highly integrated into the world; and(C)bears responsibility to ensure that the United States market does not incentivize forum shopping for the production of goods to jurisdictions with low environmental standards to obtain a competitive cost advantage while undermining efforts to address transnational environmental and resource challenges as well as global public health;(5)it is necessary to apply measures to ensure the environmental conservation efforts of the United States are not frustrated through such forum shopping; and(6)the development needs of low-income and lower-middle-income countries must be reasonably taken into consideration while strengthening environmental protection.(b)It is the purpose of this Act to raise global environmental performance to ensure a healthy environment and secure global public health benefits. 3.(a)Nothing in this Act, or any amendments made by this Act, shall be construed to authorize the creation of any carbon tax, fee, pricing, or other mechanism that imposes additional costs to any covered product (as defined in section 4695(a) of the Internal Revenue Code of 1986, as added by this Act) which is produced domestically and sold, used, further refined, or distributed within United States or exported to another country for sale or use.(b)Application to other lawsNothing in this Act, or any amendments made by this Act, shall be construed to authorize new environmental standards of performance or impact calculations of compliance to standards under the Clean Air Act (42 U.S.C. 7401 et seq.) or any other Act which examines the environmental impact of domestic production or proposed production. (c)Except as expressly authorized under this Act, nothing in this Act, or any amendments made by this Act, shall be construed to authorize additional authority for any agency to collect additional pollution data from a domestic producer.<enum>I</enum><header>Foreign pollution fee</header><section id="id230947c4449c44faba756683828cc690"><enum>101.</enum><header>Foreign pollution fee</header><subsection id="id772d1ba1a8bc4037a00066274d683aef"><enum>(a)</enum><header>In general</header><text><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/38">Chapter 38</external-xref> of the Internal Revenue Code of 1986 is amended by adding at the end the following new subchapter:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id40c72a1a7c00412dad0d5db688f0c66c"><subchapter id="idd453647771214167b949dc46bc04de96" commented="no"><enum>E</enum><header>Foreign pollution fee</header><toc><toc-entry level="section" idref="id3a1f865943da40858af34de513e4470f">Sec. 4691. Imposition of foreign pollution fee. </toc-entry><toc-entry level="section" idref="id291C8D0375DF41A38560120C424CC7B6">Sec. 4692. Determination of variable charge. </toc-entry><toc-entry level="section" idref="idbfcd0dedb02647629ed07b889743e637">Sec. 4693. Calculation of pollution intensity. </toc-entry><toc-entry level="section" idref="ide3b1458a077949e38a0d98fb2a90cdc2">Sec. 4694. Treatment of international partnerships. </toc-entry><toc-entry level="section" idref="id7ec6299829df4e4d80a09114ea03eb7d">Sec. 4695. Covered products. </toc-entry><toc-entry level="section" idref="idcfc2f6dc6bc14a2388ba64bea87a9a42">Sec. 4696. National Laboratory Advisory Board on Global Pollution Challenges. </toc-entry><toc-entry level="section" idref="id9d0db933f3fa4a92a2b09685efa4d1bc">Sec. 4697. Definitions. </toc-entry><toc-entry level="section" idref="idd24e408c1b2b4ff5bdac8fba1eac3284">Sec. 4698. Establishment process and reassessments. </toc-entry></toc><section id="id3a1f865943da40858af34de513e4470f"><enum>4691.</enum><header>Imposition of foreign pollution fee</header><subsection id="idd2a58ef727bf4c4ab2efa7caaacec4d9"><enum>(a)</enum><header>In general</header><paragraph commented="no" display-inline="no-display-inline" id="id693cff7f586240bdb72f3dd7a9106876"><enum>(1)</enum><header>Imposition of fee</header><text display-inline="yes-display-inline">In the case of any covered product which is imported by a covered entity into the United States after the applicable date, there is hereby imposed a fee upon entry or importation of such covered product in an amount equal to the product of—</text><subparagraph id="idec931d2f7f8247fcae098312dbce6dfd"><enum>(A)</enum><text>the amount of such covered product which is imported into the United States, and</text></subparagraph><subparagraph id="id2db56173461d4cb1acfd2f285578b922"><enum>(B)</enum><text>the variable charge (as determined under section 4692).</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idb63891b269b64e9aa35f6b5e9d4bc29c"><enum>(2)</enum><header>Applicable date</header><subparagraph commented="no" display-inline="no-display-inline" id="idd0f5fe9715a945619765f8a008c2c88a"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">For purposes of paragraph (1), the applicable date shall be the date which is 36 months after the date of enactment of this subchapter. </text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idec093f4a75e64b49ab3dad26204fbd21"><enum>(B)</enum><header>Postponement</header><text>With respect to any covered product produced in a low-income country or lower-middle-income country, the Secretary may extend the applicable date under such clause for a period of not greater than 12 months if the United States Trade Representative issues a certification to the appropriate congressional committees that such country is making progress towards an international partnership agreement.</text></subparagraph></paragraph></subsection><subsection id="id675b011f5fc04c2d8dfd63e7d3c7dba2"><enum>(b)</enum><header>Fee due</header><paragraph commented="no" display-inline="no-display-inline" id="id4cdbf3166fd64c8d9bb9453a7bda1d54"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The fee imposed under this section with respect to any covered product shall be paid by the covered entity which imported such product at the same time, and through the same electronic portal, that any payment of custom duties are made.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id85255cefd1fe472885f1f1eda695ab81"><enum>(2)</enum><header>Security for fees</header><text>The Secretary may issue such regulations or other guidance to require, or may direct officers of U.S. Customs and Border Protection to require, a covered entity to file with the Secretary a bond or other security in such amount and with such conditions as the Secretary determines necessary to ensure payment of the fees imposed under this section.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id24eaae88d0a74117bb792ccc815cef70"><enum>(c)</enum><header>Measurement of imported products</header><text>The amount of any covered product which is imported into the United States shall be determined by the measure ordinarily used in the course of trade of such covered product (as determined pursuant to the 6-digit HTS subheading number with respect to such product).</text></subsection><subsection id="idA888E39C1ACA49F4B5099848E6E65CB3"><enum>(d)</enum><header>Amounts and fees</header><text>The Commissioner of U.S. Customs and Border Protection shall allow payment of the fee imposed under this section for such product to be paid by the covered entity in the same manner in which payment of custom duties are made.</text></subsection></section><section id="id291C8D0375DF41A38560120C424CC7B6"><enum>4692.</enum><header>Determination of variable charge</header><subsection id="idf2c864f8d16c45b7a9004f76b657fd0f"><enum>(a)</enum><header>In general</header><text>The variable charge is an ad valorem fee which is specific to a covered product and determined pursuant to the tier to which such covered product is assigned.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="idc96041d8f80545b2b5845e2130f6e2c6"><enum>(b)</enum><header>Tiers</header><paragraph commented="no" display-inline="no-display-inline" id="id545af89b1c2d430592e5a71e5ae74fa0"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Tiers for covered products shall be established as follows:</text><subparagraph commented="no" display-inline="no-display-inline" id="idee7ccadb16ee413ab4bb250f6b32ac49"><enum>(A)</enum><text>For covered products for which the pollution intensity difference is greater than 10 percent and not greater than 50 percent, tiers shall be established at each 5-percentage-point increment.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id0b4265ced71f448a85f330f46ee5cf7b"><enum>(B)</enum><text>For covered products for which the pollution intensity difference is greater than 50 percent and not greater than 200 percent, tiers shall be established at each 10-percentage-point increment.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idf571ac91d8a6461b83741431644a7fd0"><enum>(C)</enum><text>For covered products for which the pollution intensity difference is greater than 200 percent, tiers shall be established at each 20-percentage-point increment.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idf1214c5606a448e3972afdd44fbe1b95"><enum>(2)</enum><header>Application of tiers</header><subparagraph commented="no" display-inline="no-display-inline" id="id74998f395cd447d9ba258d03744adf67"><enum>(A)</enum><header display-inline="yes-display-inline">In general</header><text>The purposes of the tiers under this section are as follows:</text><clause commented="no" display-inline="no-display-inline" id="id4f0f565bf9d24ec3bfa409401da734e2"><enum>(i)</enum><text display-inline="yes-display-inline">To provide for a standardized organization model for each covered product to allow for proper implementation and application of the fee imposed under section 4691, with such tiers to be based on the different pollution intensities for a given covered product based on the country of origin of such covered product (or, subject to section 204 of the <short-title>Foreign Pollution Fee Act of 2023</short-title>, the manufacturer of such covered product).</text></clause><clause commented="no" display-inline="no-display-inline" id="id6a726aba32d3475f88a05ea37d8627b4"><enum>(ii)</enum><text>To allow for determinations of the variable charge under this section in relation to the tiers in a manner which is specific to the covered product.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id248757697df24ae78b31ca09629586a5"><enum>(B)</enum><header>Use of tiers in determining variable charge</header><clause commented="no" display-inline="no-display-inline" id="id0ed83b4fac164a57ba2ad1abc6e9cb99"><enum>(i)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">In accordance with paragraph (1), tiers shall be established for each covered product, with the variable charge assigned to each tier in a manner which is consistent with achieving the goals described in subsection (c)(2) with respect to such covered product.</text></clause><clause commented="no" display-inline="no-display-inline" id="idc4c9d0e38dc74129b05538b1114d2ddd"><enum>(ii)</enum><header>Prohibition</header><text>The variable charge assigned to a particular tier for a covered product shall not be used to determine the variable charge assigned to the same tier for a different covered product.</text></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id36cb6e80e6884161bdf155d0e63d44e6"><enum>(3)</enum><header display-inline="yes-display-inline">Assignment</header><text>Each covered product shall be assigned to the applicable tier which corresponds to the pollution intensity difference with respect to such covered product.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id27dfcbbaf40247e880d2300b9c160bd6"><enum>(c)</enum><header>Variable charge</header><paragraph commented="no" display-inline="no-display-inline" id="idc1d562cf30774dfcbb00fb10fd13f919"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text>The variable charge assigned to each tier for a covered product shall be specific to the achievement of the goals in paragraph (2).</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id33c4eb92f01d40d4880cec9dc5544401"><enum>(2)</enum><header>Goals</header><subparagraph commented="no" display-inline="no-display-inline" id="id31710043ac0a4ed0a79fff06b5699187"><enum>(A)</enum><header display-inline="yes-display-inline">Phase one goals</header><text display-inline="yes-display-inline">During the 6-year period beginning after the applicable date described in section 4691(a)(2) (or, in the case of any covered product added pursuant to subsection (d) or (e) of section 4695, the 6-year period subsequent to the date described in subsection (f) of such section), the goal utilized for establishment of the variable charge with respect to any covered product shall be—</text><clause commented="no" display-inline="no-display-inline" id="idbdf62e0d49fb45cb9e1024f0b7d05168"><enum>(i)</enum><text display-inline="yes-display-inline">in the case of any covered product for which the average pollution intensity difference is greater than 50 percent, to alter trade flows such that the average pollution intensity difference associated with such covered product is not greater than 50 percent,</text></clause><clause commented="no" display-inline="no-display-inline" id="id4d9d69543241459883b218e47d26cae1"><enum>(ii)</enum><text>in the case of any covered product for which the average pollution intensity difference is greater than 25 percent and not greater than 50 percent, to alter trade flows such that the average pollution intensity difference associated with such covered product is not greater than 25 percent, and</text></clause><clause commented="no" display-inline="no-display-inline" id="id530e8e4c236a4fdeb2543ebfc2391d1e"><enum>(iii)</enum><text>in the case of any covered product for which the average pollution intensity difference is not greater than 25 percent, to alter trade flows such that the average pollution intensity difference associated with such covered product is not greater than 10 percent.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id70e81bcf930d4b9c8a9424d328ae8971"><enum>(B)</enum><header>Phase two goals</header><text>During the 6-year period subsequent to the initial 6-year period described in subparagraph (A), the goal for establishment of the variable charge with respect to any covered product shall be—</text><clause commented="no" display-inline="no-display-inline" id="id39e182840e854adb99a6cc7c7e3276dc"><enum>(i)</enum><text display-inline="yes-display-inline">in the case of any covered product which, for the initial 6-year period described in such subparagraph, was described in clause (i) of such subparagraph, to alter trade flows such that the average pollution intensity difference associated with such covered product is not greater than 25 percent,</text></clause><clause commented="no" display-inline="no-display-inline" id="id8cf8e21edbb14214bf76d5da262efa15"><enum>(ii)</enum><text>in the case of any covered product which, for the initial 6-year period described in such subparagraph, was described in clause (ii) of such subparagraph, to alter trade flows such that the average pollution intensity difference associated with such covered product is not greater than 10 percent, and</text></clause><clause commented="no" display-inline="no-display-inline" id="ide6e2a5a7066743489711f878b3255b96"><enum>(iii)</enum><text>in the case of any covered product which, for the initial 6-year period described in such subparagraph, was described in clause (iii) of such subparagraph, to maintain achievement of the goal described in such clause.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idaa0c42f66f8a4d88b227cfb9e0a0debd"><enum>(C)</enum><header display-inline="yes-display-inline">Phase three goals</header><text>For any year subsequent to the period described in subparagraph (B), the goal for establishment of the variable charge with respect to any covered product shall be to alter trade flows such that the average pollution intensity difference associated with such covered product is not greater than 10 percent.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id7c671f9131994939a513f856426ecd2f"><enum>(3)</enum><header>Progression of variable charge</header><subparagraph commented="no" display-inline="no-display-inline" id="id84a1ec07c0044b2984477342e45b6357"><enum>(A)</enum><header display-inline="yes-display-inline">In general</header><text>To the maximum extent practicable, the variable charges assigned to each tier of a covered product to achieve the goals described in paragraph (2) shall progress through each tier in a manner consistent with an increasing linear interpolation of the variable charge.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idd01fdaab03d44827952ff344fb4c1f72"><enum>(B)</enum><header>Exception</header><text display-inline="yes-display-inline">With respect to any tier for a covered product and the variable charge assigned to such tier, the Board may recommend and the Secretary may finalize a variable charge that deviates from a linear interpolation of the variable charge as described in subparagraph (A), provided that such alteration allows for a higher likelihood that the goals described in paragraph (2) will be attained.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id476f3f14d20045529a583d443d2e2b0e"><enum>(4)</enum><header>Minimization of domestic cost increases</header><text display-inline="yes-display-inline">For purposes of this subsection, any variable charge shall be established in a manner which ensures that the goals described under paragraph (2) are attained while minimizing any potential increase in domestic costs.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id2c471f378d704a058c517dada868f1fe"><enum>(d)</enum><header>Exceptions</header><paragraph commented="no" display-inline="no-display-inline" id="idcae8552335dc4526a9a38b728a4d1904"><enum>(1)</enum><header display-inline="yes-display-inline">Comparable to baseline pollution intensity</header><text>In the case of any covered product for which the pollution intensity difference is not greater than 10 percent, the variable charge shall be zero.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id6ff18b65f7114679846ba4bbc8a89acf"><enum>(2)</enum><header>Insufficient domestic production</header><subparagraph commented="no" display-inline="no-display-inline" id="id226a172f2e8b4cf2a11c158cd28dc61b"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">In the case of any covered product for which the Secretary determines there is not sufficient domestic production with respect to such product, the variable charge shall be zero.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id0f28b20522a344178fe75cba4d154dc6"><enum>(B)</enum><header>Definition</header><clause commented="no" display-inline="no-display-inline" id="id80e7dd8b8e0247369f3bef97c636e5a3"><enum>(i)</enum><header>In general</header><text display-inline="yes-display-inline">For purposes of this paragraph, the term <term>sufficient domestic production</term> means any covered product for which an equivalent product which is produced by domestic producers within the United States constitutes greater than the applicable percentage of domestic consumption of such product.</text></clause><clause commented="no" display-inline="no-display-inline" id="id5f4f9d5acc0a40ba94bba4d4f30b316f"><enum>(ii)</enum><header>Applicable percentage</header><subclause commented="no" display-inline="no-display-inline" id="id4bd75af5b3744015b10accf52dfe8ae2"><enum>(I)</enum><header display-inline="yes-display-inline">In general</header><text>For purposes of clause (i), the applicable percentage shall be equal to—</text><item commented="no" display-inline="no-display-inline" id="idec4759dd12d74da68312debe5b76c611"><enum>(aa)</enum><text display-inline="yes-display-inline">5 percent, or</text></item><item commented="no" display-inline="no-display-inline" id="id1ef81f10accb4673b65232ea96db1b33"><enum>(bb)</enum><text>in the case of any covered product described in subclause (II), such percentage below 5 percent as is determined appropriate by the Secretary.</text></item></subclause><subclause commented="no" display-inline="no-display-inline" id="id74ca6fce1d254f289b65229b11dbf518"><enum>(II)</enum><header>Specified product</header><text display-inline="yes-display-inline">A covered product described in this subclause is a product—</text><item commented="no" display-inline="no-display-inline" id="idc45ddf8c7d6c475c88c349ed5efb3c5e"><enum>(aa)</enum><text display-inline="yes-display-inline">which the Secretary, in consultation with the United States Trade Representative, has determined requires an applicable percentage below 5 percent for purposes of supporting—</text><subitem commented="no" display-inline="no-display-inline" id="id516ce2de39c54cb2b2be80c5388425d9"><enum>(AA)</enum><text display-inline="yes-display-inline">national security,</text></subitem><subitem commented="no" display-inline="no-display-inline" id="idd40d4f8e81ea41ecbd934280e17c5134"><enum>(BB)</enum><text>prevention of dumping from foreign countries, or</text></subitem><subitem commented="no" display-inline="no-display-inline" id="id66dd1dc4d5c54b7abbb4dba28f704aeb"><enum>(CC)</enum><text>development of a domestic industry, or</text></subitem></item><item commented="no" display-inline="no-display-inline" id="id55b533eb8f0141879c1bfccff2fc97a6"><enum>(bb)</enum><text>for which, as a result of an international partnership agreement, a country which is a party to such agreement produces not less than 5 percent of United States domestic consumption of such covered product.</text></item></subclause></clause></subparagraph><subparagraph id="id85AC617033B24C728765604D2C1C65E1"><enum>(C)</enum><header>Adjustment</header><text display-inline="yes-display-inline">In the case of any covered product for which no variable charge is imposed under this section pursuant to a determination under subparagraph (A), the Secretary shall—</text><clause commented="no" display-inline="no-display-inline" id="id4fef45b267514a8e810c386b2ba04708"><enum>(i)</enum><text display-inline="yes-display-inline">review such determination not less than annually, and</text></clause><clause commented="no" display-inline="no-display-inline" id="id867c42b64cd94ebb940afbc7abb8be08"><enum>(ii)</enum><text display-inline="yes-display-inline">if the Secretary's review determines that sufficient domestic production has been attained with respect to such product, terminate application of subparagraph (A) for such product.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idf53470d2387646ce98477132634d30d4"><enum>(D)</enum><header>Exception</header><text>This paragraph shall not apply with respect to any product which is included as a covered product pursuant to section 4695(d).</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id0b0579f4ce27466daef6f5340a83b670"><enum>(3)</enum><header>National security</header><subparagraph commented="no" display-inline="no-display-inline" id="id8799fb2cd91d42beb88fbb76ee0d2468"><enum>(A)</enum><header>Product waiver</header><clause commented="no" display-inline="no-display-inline" id="id4184170cbd4e404dab3f00927e071d21"><enum>(i)</enum><header display-inline="yes-display-inline">In general</header><text>The Secretary, in coordination with the Secretary of Defense and the Commissioner of U.S. Customs and Border Protection, may reduce the variable charge to zero for any covered product if the Secretary determines that such product is imported for purposes of fulfilling a contract with—</text><subclause commented="no" display-inline="no-display-inline" id="idcf6d5b5fb5674ca5ba9d661af3361ae1"><enum>(I)</enum><text display-inline="yes-display-inline">the Department of Defense, or</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id8fc6ddb1aeaa41a1bb971cb2e07874e5"><enum>(II)</enum><text>any contractor of the Department of Defense.</text></subclause></clause><clause commented="no" display-inline="no-display-inline" id="id8a51384903bd4e8fbbc2b30884fbfde2"><enum>(ii)</enum><header>Form</header><subclause commented="no" display-inline="no-display-inline" id="id4a72488d107e48d8976cfee4f1ce2b54"><enum>(I)</enum><header>In general</header><text display-inline="yes-display-inline">Any reduction under this subparagraph shall only apply to a covered product—</text><item commented="no" display-inline="no-display-inline" id="idf63bf6d3ada547f1bc6abc139d65996a"><enum>(aa)</enum><text display-inline="yes-display-inline">for the period that the contract described in clause (i) is in effect, and</text></item><item commented="no" display-inline="no-display-inline" id="idfaee73542fb341d8b4a0dd36756606a2"><enum>(bb)</enum><text>with respect to the quantity of such covered product which is required to fulfill the contract described in such clause. </text></item></subclause></clause><clause id="id9c33e8f270d04fe9b94158237627e828"><enum>(iii)</enum><header>Publication</header><text>The Secretary shall make public any reduction under this subparagraph with respect to a covered product unless the publication of such information would negatively affect national security.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idb636892f97d041bf8a8a786d9a144837"><enum>(B)</enum><header>International partnership agreements</header><text>In the case of—</text><clause commented="no" display-inline="no-display-inline" id="id288591dbb06347628a58ebd9050a45b6"><enum>(i)</enum><text display-inline="yes-display-inline">any upper-middle-income country, or</text></clause><clause commented="no" display-inline="no-display-inline" id="id8f36a812418049c4822da15e57a7bc8b"><enum>(ii)</enum><text display-inline="yes-display-inline">any country which has entered into a mutual defense treaty or security partnership with the United States,</text></clause><continuation-text continuation-text-level="subparagraph">the United States Trade Representative (in consultation with the Secretary of Defense and the Secretary of State) may permit such country to be subject to the requirements applicable to a low-income country or a lower-middle-income country under section 203 of the <short-title>Foreign Pollution Fee Act of 2023</short-title> if completion of an international partnership agreement with such country is determined to assist in the national security or geopolitical positioning of the United States.</continuation-text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id9960eb2fc41a4cf1b52ee9f8c574ed95"><enum>(4)</enum><header>Free trade agreement</header><text>In the case of any covered product—</text><subparagraph commented="no" display-inline="no-display-inline" id="id787621d6a0a14a8aaf468755850261c4"><enum>(A)</enum><text display-inline="yes-display-inline">which is produced in a country with which the United States has a free trade agreement,</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idcb29d8cced2d42bcb5dd5ea221b459fe"><enum>(B)</enum><text display-inline="yes-display-inline">for which all of the transforming parts or components parts necessary to produce such covered product are produced within—</text><clause commented="no" display-inline="no-display-inline" id="id87CBD2C340124F55BF47B1A54A37A1DA"><enum>(i)</enum><text display-inline="yes-display-inline">any country with which the United States has a free trade agreement, or </text></clause><clause commented="no" display-inline="no-display-inline" id="id3532A07C159640D1B4B711CF19500D7C"><enum>(ii)</enum><text>the United States, and</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id7e7aa98d72ae4ea086a5808d6ba3ed45"><enum>(C)</enum><text display-inline="yes-display-inline">for which the pollution intensity difference is not greater than 50 percent,</text><continuation-text continuation-text-level="subparagraph">the variable charge shall be zero.</continuation-text></subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id3375dd8c3686481f85e1aa5c98cc626e"><enum>(e)</enum><header>Limitation</header><text display-inline="yes-display-inline">Subsection (d) shall not apply to any covered product which is produced in a country which is classified as a nonmarket economy country unless such country—</text><paragraph commented="no" display-inline="no-display-inline" id="id2be681a981a54b7986d01857bebb737b"><enum>(1)</enum><text display-inline="yes-display-inline">is a low-income country or a lower-middle-income country, and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id3e99cbeffbbc42ac9b62e1cba49c0298"><enum>(2)</enum><text>is a party to an international partnership agreement.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id0cbbf46c71684265a69aeac4c26cbea1"><enum>(f)</enum><header>Circumvention</header><paragraph commented="no" display-inline="no-display-inline" id="id9a17dc7f07a84c7f8f76cdc2bd7629cb"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">If the Secretary (in consultation with the United States Trade Representative, the appropriate congressional committees, and any relevant Federal agency) determines that any country is attempting to circumvent application of the fee imposed under section 4691, the Secretary shall adjust the variable charge in such manner is as deemed necessary to offset such circumvention.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id066b57a65e6149629cbc2b6734acc027"><enum>(2)</enum><header>Inclusion</header><text>For purposes of this subsection, circumvention of the fee imposed under section 4691 shall include—</text><subparagraph commented="no" display-inline="no-display-inline" id="id00f8be2a584e4984a71e0bcebb9decb2"><enum>(A)</enum><text display-inline="yes-display-inline">artificially decreasing the price for which a covered product is sold, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id2331badeb8a1468999403017232bbc2e"><enum>(B)</enum><text>subsidization to producers within the country of origin to offset such fee.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id53775d9d29fe46309a7ad1a679c52d39"><enum>(3)</enum><header>Determination</header><text>If the Secretary determines that a country is attempting to circumvent application of the fee imposed under section 4691, the Secretary shall publish in the Federal Register—</text><subparagraph commented="no" display-inline="no-display-inline" id="id6e1daf76404b4eb0a80cf29db58d0b7f"><enum>(A)</enum><text display-inline="yes-display-inline">a justification for such determination,</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id0ed9212bec4947fdba49a07dcc639e5c"><enum>(B)</enum><text>the adjusted variable charge applicable to any covered product produced in such country, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idf34f2699000341f6aff2d011d3c0ed92"><enum>(C)</enum><text>the date (not later than 6 months after the date of publication) on which the adjusted variable charge will begin application.</text></subparagraph></paragraph></subsection></section><section id="idbfcd0dedb02647629ed07b889743e637"><enum>4693.</enum><header>Calculation of pollution intensity</header><subsection id="id320d40157fd74bf8ae5cd7aefefee6a2"><enum>(a)</enum><header>In general</header><text>For purposes of determining the applicable tiers for covered products under section 4692(b), the Secretary and the Board shall develop consistent methods for calculating the pollution intensity of any covered product which are specific to the country of origin.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id14dfded7671f475b834d8d088d8fd3cc"><enum>(b)</enum><header>Form</header><paragraph commented="no" display-inline="no-display-inline" id="id1f6236c9353d4a9f94a761865df60295"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">With respect to any covered product, the pollution intensity of such product shall be expressed based on the average pollution intensity associated with the manufacturing of such product (including point source pollution and upstream pollution) in the country of origin.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ida3afa0412a4c4785b626c805528a1bf4"><enum>(2)</enum><header>Specificity</header><subparagraph commented="no" display-inline="no-display-inline" id="idc75011f300a141e3827ec1b4aa28d0af"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">To the maximum extent practicable, the pollution intensity of a covered product shall be specific to the applicable 6-digit HTS subheading number.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id77de18b60dbf4a6ca3b5869bafc162ac"><enum>(B)</enum><header>Crude oil</header><text>In the case of a covered product described in section 4695(a)(4), the pollution intensity of the covered product shall be specific to the applicable 8-digit HTS subheading number.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id1b4323128e9f4e5da76b346f0df6b0c1"><enum>(3)</enum><header>Exception</header><text display-inline="yes-display-inline">In the case of a covered product (with the exception of a covered product described in section 4695(a)(4)) for which data is not available to determine pollution intensity in a manner specific to the 6-digit HTS subheading number, the Secretary and the Board may determine the pollution intensity based on the applicable 4-digit HTS heading.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id94b64354e9d645548e7fc6b7708b2bfd"><enum>(c)</enum><header>Data</header><paragraph id="id51351DF730024517BB86D0CF0296CE4E"><enum>(1)</enum><header>In general</header><text>To the extent necessary for any determination with respect to any covered product, the Secretary and the Board may use—</text><subparagraph id="id3C578ACD9ACB4BB3A1A7227DAAC4F004"><enum>(A)</enum><text>economic, statistical, and engineering models and analysis,</text></subparagraph><subparagraph id="id0A9AC2B96DF84396A302210250091C95"><enum>(B)</enum><text>pollution monitoring data from facilities, satellites, and other pollution monitoring tools, provided that such data—</text><clause id="id805E81EEF16C466191EE46FBF31238E6"><enum>(i)</enum><text>is publicly available, or</text></clause><clause id="id1BAF33CC8C7A4E7F88F4638CA694827B"><enum>(ii)</enum><text>is not publicly available but is able to be accessed and verified on a consistent basis by the Secretary or the head of any relevant Federal agency,</text></clause></subparagraph><subparagraph id="idC22FD412CA454393B83CD4110AAFEC1B"><enum>(C)</enum><text>voluntarily reported data, provided that such data is—</text><clause commented="no" display-inline="no-display-inline" id="id469a73a752884bf8994f5c7c9d703ffb"><enum>(i)</enum><text display-inline="yes-display-inline">a product of monitored emissions, and</text></clause><clause commented="no" display-inline="no-display-inline" id="idd8a46f4956194e6b95e3c52b403cf975"><enum>(ii)</enum><text>able to be verified by the Secretary or the Board, </text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id069bfe41167f4a70a20b7ed91320dc94"><enum>(D)</enum><text display-inline="yes-display-inline">the best available information on technology performance levels for the industrial sector that produces such product, and</text></subparagraph><subparagraph id="id7017B7A5B0A2483FA3CE56E0B8ECD44F"><enum>(E)</enum><text>manufacturing and pollution data which is specific to a covered product, including relevant data with respect to the point source pollution and upstream pollution, the industrial sector which is associated with such product, and the country of origin.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ide9f46f18403e4e9dbbcc2c44151ac6fc"><enum>(2)</enum><header>Data preference</header><subparagraph commented="no" display-inline="no-display-inline" id="id002520abbec6422fafe53b33963ec881"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">To the greatest extent possible, in determining baseline pollution intensity, the Secretary and the Board shall give preference to data collected through regulatory reporting methods by the Environmental Protection Agency.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id09da71bcdc714464a6fcbb12793bb206"><enum>(B)</enum><header>Data collection</header><text>To the extent necessary to carry out the purposes of this subchapter, the Administrator may alter the Greenhouse Gas Reporting Program (as established under part 98 of title 40, Code of Federal Regulations) to include the reporting of production from stationary sources regarding—</text><clause commented="no" display-inline="no-display-inline" id="id52580661b1284933b03f31c1fa68b79e"><enum>(i)</enum><text display-inline="yes-display-inline">the quantity of any product produced, and </text></clause><clause commented="no" display-inline="no-display-inline" id="id857b891930e74f8ba643d4fa2bc30712"><enum>(ii)</enum><text display-inline="yes-display-inline">the heading, subheading, and statistical reporting number of the HTS under which the product would be classified if the product were imported. </text></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idbbe03688cbcf45698bde4d1616922b19"><enum>(3)</enum><header display-inline="yes-display-inline">Access to information</header><subparagraph commented="no" display-inline="no-display-inline" id="id9ed0d173b9d44f71a376ddc00d9ec7c4"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">The head of every relevant Federal agency shall provide the Secretary and the Board with any information held by or otherwise available to the head of such Federal agency which is relevant to the calculation of pollution intensity.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idccb002821e5c493e9fcba4d7dbb42f13"><enum>(B)</enum><header>Confidentiality</header><text>With respect to any information or data relating to operational practices or manufacturing processes of any producer of a covered product which is provided to the Secretary and the Board pursuant to subparagraph (A), unless such information or data is otherwise publicly available, the head of any relevant Federal agency shall take such measures as are necessary to ensure that such information and data is aggregated and anonymized.</text></subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id5a69e3f2ab6748fe946d6e44e4fd7e35"><enum>(d)</enum><header>Methodology</header><paragraph commented="no" display-inline="no-display-inline" id="id66a8a6ba2f9a4f67b3e8f2fe4c1476f6"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">For purposes of creating a process for calculating the pollution intensity of any covered product under subsection (a), the Secretary and the Board shall—</text><subparagraph commented="no" display-inline="no-display-inline" id="ida11f09bba40c49748124f5195444a444"><enum>(A)</enum><text display-inline="yes-display-inline">use the best, and most granular, data available in the United States to establish the baseline pollution intensity with respect to such product, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id50f2b899c49343c4ba89d2d287c1f3f4"><enum>(B)</enum><text>in the case of a covered product produced outside of the United States, base the calculation of the pollution intensity of such product on the process used to establish the baseline pollution intensity for such product.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id3e541b3008a94874964bc976e09d1988"><enum>(2)</enum><header>Treatment of different manufacturing methods and locations</header><text>For purposes of calculating the baseline pollution intensity of a covered product, such calculations shall seek to account for differences in pollution intensity due to—</text><subparagraph commented="no" display-inline="no-display-inline" id="id7019bc41209e402b8315c0f6408b820b"><enum>(A)</enum><text display-inline="yes-display-inline">varied manufacturing methods,</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idfe5f2a9cd3764717a16968f2d785ea5f"><enum>(B)</enum><text>differences in geographic location associated with upstream pollution intensity, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id5f12bea312734b5d896174e3418666c9"><enum>(C)</enum><text>the proportion of manufacturing of such product which is associated with the methods and differences described in subparagraphs (A) and (B) relative to total domestic production of such product.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id540d47b01e354625b724e03a81338024"><enum>(3)</enum><header>Treatment of recycled materials</header><text>Any recycled material (as defined in section 246.101(w) of title 40, Code of Federal Regulations) shall be deemed to have a pollution intensity of zero if recycled (as defined in section 246.101(x) of such title) into—</text><subparagraph commented="no" display-inline="no-display-inline" id="idfa430dc83977467e8d1843427cc9c6a2"><enum>(A)</enum><text display-inline="yes-display-inline">a contributing part,</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id5cbd1630febc45e79ddec13392cccc74"><enum>(B)</enum><text>a component part, or</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ided63a6ebabf74f1bb72742abc0a7e3f2"><enum>(C)</enum><text>a covered product.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="iddeb55435bc284f3984bda7ef4d47d1dc"><enum>(4)</enum><header>Treatment of carbon oxides</header><subparagraph commented="no" display-inline="no-display-inline" id="id42ea522a993a4bf3b5c2c36e5e048b72"><enum>(A)</enum><header display-inline="yes-display-inline">In general</header><text>Any carbon oxide captured from manufacturing processes or from ambient air by the producer of a covered product, or verifiably purchased by the producer of a covered product as an offset from an entity operating carbon capture infrastructure, shall have the effect of reducing the pollution associated with the production of a covered product if such carbon oxide is—</text><clause commented="no" display-inline="no-display-inline" id="id1c38b0e6367743d8b99947857c00c2ed"><enum>(i)</enum><text>utilized in the creation of a contributing part, component part, transforming part, or covered product,</text></clause><clause commented="no" display-inline="no-display-inline" id="id1f09ea9924f8466cacd1b1bd0e4cc251"><enum>(ii)</enum><text>utilized to help access a contributing part, component part, transforming part, or covered product that is extracted from a geologic formation, or</text></clause><clause commented="no" display-inline="no-display-inline" id="id0232568233e24344a59f47f1e4f989e1"><enum>(iii)</enum><text>verifiably sequestered in the country of origin of such product in a manner which provides an accurate accounting of the storage of such carbon oxide.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id41f0b95f37164cf286566f9e85da9c8e"><enum>(B)</enum><header>Accounting</header><text>Any carbon oxide utilized or sequestered as described in subparagraph (A) shall be—</text><clause commented="no" display-inline="no-display-inline" id="id4b90d591a7544827b2111e7f0ea2ef84"><enum>(i)</enum><text display-inline="yes-display-inline">treated as a reduction in pollution associated with the production of a covered product based on the total tons of carbon oxide utilized or sequestered, and</text></clause><clause commented="no" display-inline="no-display-inline" id="id4458e6e04c464a038deb569d5ac39431"><enum>(ii)</enum><text>eligible to offset all forms of pollution based on the relevant carbon dioxide equivalent value.</text></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id5c06c218e4d741568aed8242f8654abd"><enum>(5)</enum><header>Treatment of covered products with multiple parts</header><subparagraph commented="no" display-inline="no-display-inline" id="id36e6d138a58c460d957abb3a210145a6"><enum>(A)</enum><header display-inline="yes-display-inline">In general</header><text>In the case of a covered product described in subparagraph (B) which contains any covered component part or covered transforming part, to the maximum extent practicable, the pollution intensity of such covered component part or covered transforming part shall be calculated based on—</text><clause commented="no" display-inline="no-display-inline" id="id766415ba945f4c6ebc75b2798eb50317"><enum>(i)</enum><text display-inline="yes-display-inline">the amount of such covered component part or covered transforming part originating in each country of origin (including the United States) which supply such covered component part or covered transforming part for the covered product, and</text></clause><clause commented="no" display-inline="no-display-inline" id="id4bf3bd0f20eb4c2c9bb8b6bbf66aace5"><enum>(ii)</enum><text>the pollution intensity associated with production of such covered component part or covered transforming part within the country of origin.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id6553d348787c42e79b825309b93e8171"><enum>(B)</enum><header>De minimis rule</header><text>For purposes of subparagraph (A), a covered component part or covered transforming part shall not be included if such covered component part or covered transforming part accounts for less than 5 percent of—</text><clause commented="no" display-inline="no-display-inline" id="id0b03148f1bf2407fbfaca12b8a468590"><enum>(i)</enum><text display-inline="yes-display-inline">the total weight of the covered product,</text></clause><clause commented="no" display-inline="no-display-inline" id="ida54bc5b9303b4da1ac41210ac32e2463"><enum>(ii)</enum><text display-inline="yes-display-inline">the total monetary value of the covered component parts or covered transforming parts contained in the covered product, and</text></clause><clause commented="no" display-inline="no-display-inline" id="id4c8e81e13f8f4a51b61f875352742e0a"><enum>(iii)</enum><text>the pollution intensity of the covered product (as otherwise determined under such subparagraph).</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id2a4f176b41df42749b50c644e38558ac"><enum>(C)</enum><header>Additional measurements</header><text>In the case of a petition to include a product which contains any other covered component part or covered transforming part as a covered product under section 4695(d), such petition—</text><clause commented="no" display-inline="no-display-inline" id="ide37f918836c34e9ea30b68803c4fbc24"><enum>(i)</enum><text display-inline="yes-display-inline">shall provide such information as is deemed necessary to make any calculation under subparagraph (A), and</text></clause><clause commented="no" display-inline="no-display-inline" id="iddd9d4ec4c2af4e0fbae76f8e33cbefa0"><enum>(ii)</enum><text>may include, at the election of the petitioner, additional calculations to achieve an accurate determination of the pollution intensity of such product which are not tied solely to the pollution intensity of the covered component part or covered transforming part.</text></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id111c0afb81de44ddbff27353446dca1a"><enum>(6)</enum><header>Treatment of facility-specific agreements</header><text>For the purpose of determining the pollution intensity of any covered product which is produced in a foreign country, if—</text><subparagraph commented="no" display-inline="no-display-inline" id="idd6cfa8c9e5c2467bb5ff2c12aded3419"><enum>(A)</enum><text display-inline="yes-display-inline">such product is produced in a facility which is—</text><clause commented="no" display-inline="no-display-inline" id="idb91117bd3c444f5cbe1ba318c083e4f5"><enum>(i)</enum><text display-inline="yes-display-inline">located in such country, and </text></clause><clause commented="no" display-inline="no-display-inline" id="idc9b3c0e3959e45a09e612b102100ed63"><enum>(ii)</enum><text display-inline="yes-display-inline">covered by an agreement established under section 204 of the <short-title>Foreign Pollution Fee Act of 2023</short-title>, and</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id26c77397a015421ba656195682573d6c"><enum>(B)</enum><text display-inline="yes-display-inline">the pollution intensity of the product produced in such facility would otherwise lower the average pollution intensity associated with the production of such product in such country,</text></subparagraph><continuation-text continuation-text-level="paragraph">the pollution intensity of the product produced in such facility shall not be included for purposes of calculating the pollution intensity associated with production of such product in the country of origin.</continuation-text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id582FE8D48F8D40C6A0A0D06B881AF35D"><enum>(e)</enum><header>Alterations for foreign data</header><text>For purposes of determining the pollution intensity values with respect to any country of origin for a covered product, if—</text><paragraph commented="no" display-inline="no-display-inline" id="idfbac020dd8e7426f9b8e8bedc8569f3f"><enum>(1)</enum><text display-inline="yes-display-inline">the baseline pollution intensity for such covered product was determined utilizing a methodology based on data described in subsection (c) which was provided at a more localized level, or in more granular detail, than the data available with respect to the country of origin, or</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idfdc169ab546545d697e0912be54d8103"><enum>(2)</enum><text display-inline="yes-display-inline">due to unavailable or unverifiable data with respect to the country of origin, such determination required estimation through modeling which was not performed for purposes of the calculation of the baseline pollution intensity,</text></paragraph><continuation-text continuation-text-level="subsection">the pollution intensity otherwise determined under this section with respect to production of such covered product in such country of origin shall be increased by 20 percent.</continuation-text></subsection><subsection commented="no" display-inline="no-display-inline" id="id12dc8cb6af854821b3ea6b234fdc7d48"><enum>(f)</enum><header display-inline="yes-display-inline">Foreign illustration of pollution intensity</header><paragraph id="id4c830b82c6e647e883fb58e580e56ac9"><enum>(1)</enum><header>In general</header><text>Any country may provide the Secretary with access to any data necessary to establish an alternative pollution intensity with respect to any covered product.</text></paragraph><paragraph id="id6963cca702124c0c84a52aeab5b457ef"><enum>(2)</enum><header>Alternative pollution intensity</header><subparagraph id="id483E65CA623F4F16AC102DDC7450E527"><enum>(A)</enum><header>In general</header><text>In the case of a country which provides data described in paragraph (1), the Secretary may adjust the pollution intensity with respect to any covered product, provided that the country providing such data—</text><clause id="ida8a1bce98d9745d390e0c8623b7f9971"><enum>(i)</enum><text>ensures the accuracy of all relevant data for all covered products,</text></clause><clause id="ide778c96c7f904084a009266acd48f7b7"><enum>(ii)</enum><text>provides data at a level of granularity which satisfies the methods established by the Board, and</text></clause><clause id="idd987afd3b21b41e290f7bab7467a0b7d"><enum>(iii)</enum><text>provides the data consistently and in a manner that is verifiable by the Secretary.</text></clause></subparagraph><subparagraph id="idce889734613444f8aa11dc9d069be667"><enum>(B)</enum><header>Role of the Board</header><text>For purposes of this paragraph, the Board shall assist the Secretary by verifying relevant data and calculating adjustments to pollution intensities.</text></subparagraph></paragraph><paragraph id="ida414b4248fda483ca298a7d22c3589b2"><enum>(3)</enum><header>Publication of alternative pollution intensity values</header><text>In the case of any pollution intensity with respect to any covered product which is adjusted pursuant to paragraph (2)—</text><subparagraph commented="no" display-inline="no-display-inline" id="id98b57b74cff84bfeb5bd6d5ec4f1361e"><enum>(A)</enum><text display-inline="yes-display-inline">the Secretary shall publish such adjustment in the Federal Register, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id9077fe87b21a4b6a96e86cd7622f49ee"><enum>(B)</enum><text>such adjustment shall take effect in the following calendar year.</text></subparagraph></paragraph></subsection><subsection id="id359148c33fb74fa684ff17b40b78fca7"><enum>(g)</enum><header>Treatment of potential circumvention and outliers</header><paragraph id="id209F4F8B41374062A0B250F09113EE28"><enum>(1)</enum><header>In general</header><text>On or after the date of the first reassessment required under section 4698, the Secretary, in consultation with the United States Trade Representative, may assign a product which is produced by a foreign producer to a tier which is different from the tier determined under section 4692 with respect to the country of origin in which such producer is located if—</text><subparagraph commented="no" display-inline="no-display-inline" id="ida7cc0ea3f0974a08ba4bbb3b76e34939"><enum>(A)</enum><text>subsequent to the applicable date (as described in section 4691(a)(2)), such foreign producer has increased production of such product by not less than 5 percent through the establishment of a new production facility or the expansion of an existing production facility, and</text></subparagraph><subparagraph id="id9DD1259AE2B74CB1A448A0A196E2E234"><enum>(B)</enum><text>the increase in production described in subparagraph (A) results in an increase in pollution intensity associated with production of such product by such foreign producer which is at least 5 percent greater than the pollution intensity associated with production of such product in such country (as determined under paragraph (2)).</text></subparagraph></paragraph><paragraph id="idB7941FC233964D0D9F93AA09DF777027"><enum>(2)</enum><header>Comparison of pollution intensity</header><text>For purposes of paragraph (1)(B), the pollution intensity associated with production of a covered product in a foreign country shall be equal to the lowest pollution intensity determination with respect to production of such product in such country for any period beginning after the applicable date under section 4691(a)(2).</text></paragraph><paragraph id="id2553756B2DB34EB2BA11286E2B255DCB"><enum>(3)</enum><header>Treatment of foreign ownership</header><text display-inline="yes-display-inline">For purposes of paragraph (1), if the Secretary determines that—</text><subparagraph commented="no" display-inline="no-display-inline" id="id2374a73ccae542a6b4f9bfc57a161b95"><enum>(A)</enum><text display-inline="yes-display-inline">a foreign producer is owned, operated, or majority financed by—</text><clause commented="no" display-inline="no-display-inline" id="idb7b769cc7e384f95802abfea26bd126b"><enum>(i)</enum><text display-inline="yes-display-inline">a country (referred to in this paragraph as the <term>base country</term>) other than the country in which the production facility is located, or</text></clause><clause commented="no" display-inline="no-display-inline" id="id2eb954eef9044b82bcb6a1bd1db141f5"><enum>(ii)</enum><text>an entity which is headquartered in the base country, and</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ide568fa0241094834abe41d67c1864121"><enum>(B)</enum><text>the pollution intensity associated with production of the covered product in the base country is greater than the pollution intensity associated with production of such product by the foreign producer,</text></subparagraph><continuation-text continuation-text-level="paragraph">the Secretary shall assign the covered product which is produced by such foreign producer to the same tier determined under section 4692 with respect to production of such covered product in the base country.</continuation-text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idc53374b899f4494cbcaf1628b9b0144c"><enum>(4)</enum><header>Foreign producer</header><text>For purposes of this subsection, the term <term>foreign producer</term> means any producer which is not a domestic producer.</text></paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="ide3b1458a077949e38a0d98fb2a90cdc2"><enum>4694.</enum><header>Treatment of international partnerships</header><subsection commented="no" display-inline="no-display-inline" id="id51270ee815aa45b2b65625340273cffa"><enum>(a)</enum><header>Adjustment of fee for partner countries</header><text>In the case of a covered product which is produced in a country which is a party to an international partnership agreement which satisfies the conditions under sections 201 and 202 of the <short-title>Foreign Pollution Fee Act of 2023</short-title> (referred to in this section as a <term>partner country</term>), no fee under section 4691 shall apply.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id820efa76f8624dd6813098e95cf035e3"><enum>(b)</enum><header>Elimination of treatment of foreign data</header><text display-inline="yes-display-inline">Section 4693(e) shall not apply to any partner country.</text></subsection></section><section id="id7ec6299829df4e4d80a09114ea03eb7d"><enum>4695.</enum><header>Covered products</header><subsection id="id360f650017c34d048dd14f7aea7d1904"><enum>(a)</enum><header>In general</header><text>The term <term>covered product</term> means articles classifiable under the same 6-digit subheading number of the HTS within one of the following categories:</text><paragraph id="idadd0b3d9f3434539a57e5197f502bc4e"><enum>(1)</enum><text>Aluminum classifiable under any of headings 7601 through 7616 of the HTS.</text></paragraph><paragraph id="id20e19f6ffe2442dd93289ac957fe64c2"><enum>(2)</enum><text>Biofuels classifiable under subheading 2207.10 or 2207.20, or heading 3826, of the HTS.</text></paragraph><paragraph id="id4288a2983d814948a9261abc4dd7393e"><enum>(3)</enum><text>Cement classifiable under heading 2523, 6810, or 6811, or subheading 3824.50, of the HTS.</text></paragraph><paragraph id="id58dca89d6c954271bfcb636c025a80d4"><enum>(4)</enum><text>Crude oil classifiable under heading 2709 of the HTS.</text></paragraph><paragraph id="ida3a2a5bd18aa491d875495d3babb8a41"><enum>(5)</enum><text>Glass classifiable under any of headings 7001 through 7020 of the HTS.</text></paragraph><paragraph id="id28bb4d77e92743878a1f9df0b00a42ad" commented="no"><enum>(6)</enum><text>Hydrogen, methanol, or ammonia classifiable under heading 2814 or any of subheadings 2804.10, 2905.11, 3102.10, 3102.30, or 3102.80 the HTS.</text></paragraph><paragraph id="id4745bcebd17e4f9aaf6435d70359a6d8"><enum>(7)</enum><text>Iron and steel classifiable under any of headings 7201 through 7326 of the HTS.</text></paragraph><paragraph id="id1e4b5d16f0594894989cf83744eee63e"><enum>(8)</enum><text>Lithium-ion batteries classifiable under subheading 8507.60 of the HTS.</text></paragraph><paragraph id="id65693a762a674b88889baa76dc40e31b" commented="no"><enum>(9)</enum><text>Minerals classifiable under any of the following headings or subheadings of the HTS:</text><table table-type="" table-template-name="Generic: 3 text, even cols" align-to-level="section" frame="none" colsep="0" rowsep="0" blank-lines-before="1" line-rules="no-gen" rule-weights="0.0.0.0.0.0"><tgroup cols="3" grid-typeface="1.1" rowsep="0" thead-tbody-ldg-size="10.10.10"><colspec coldef="txt" colname="column1" min-data-value="95" colwidth="105pts"></colspec><colspec coldef="txt" colname="column2" min-data-value="95" colwidth="105pts"></colspec><colspec coldef="txt-no-ldr" colname="column3" min-data-value="95" colwidth="105pts"></colspec><tbody><row><entry align="left" leader-modify="force-ldr" stub-definition="txt-ldr" stub-hierarchy="1" colname="column1">2504</entry><entry align="left" leader-modify="force-ldr" colname="column2">2825.50</entry><entry align="left" leader-modify="clr-ldr" colname="column3">3801.10</entry></row><row><entry align="left" leader-modify="force-ldr" stub-definition="txt-ldr" stub-hierarchy="1" colname="column1">2612.10</entry><entry align="left" leader-modify="force-ldr" colname="column2">2827.41</entry><entry align="left" leader-modify="clr-ldr" colname="column3">7401 through 7404</entry></row><row><entry align="left" leader-modify="force-ldr" stub-definition="txt-ldr" stub-hierarchy="1" colname="column1">2804.69</entry><entry align="left" leader-modify="force-ldr" colname="column2">2833.24</entry><entry align="left" leader-modify="clr-ldr" colname="column3">7406</entry></row><row><entry align="left" leader-modify="force-ldr" stub-definition="txt-ldr" stub-hierarchy="1" colname="column1">2820.10</entry><entry align="left" leader-modify="force-ldr" colname="column2">2836.91</entry><entry align="left" leader-modify="clr-ldr" colname="column3">7501 through 7504</entry></row><row><entry align="left" leader-modify="force-ldr" stub-definition="txt-ldr" stub-hierarchy="1" colname="column1">2822.00</entry><entry align="left" leader-modify="force-ldr" colname="column2">2844.10</entry><entry align="left" leader-modify="clr-ldr" colname="column3">8105.20</entry></row><row><entry align="left" leader-modify="force-ldr" stub-definition="txt-ldr" stub-hierarchy="1" colname="column1">2825.20</entry><entry align="left" leader-modify="force-ldr" colname="column2">2844.20</entry><entry align="left" leader-modify="clr-ldr" colname="column3">8105.30</entry></row><row><entry align="left" leader-modify="force-ldr" stub-definition="txt-ldr" stub-hierarchy="1" colname="column1">2825.40</entry><entry align="left" leader-modify="force-ldr" colname="column2">2844.30</entry><entry align="left" leader-modify="clr-ldr" colname="column3">8111.</entry></row></tbody></tgroup></table></paragraph><paragraph id="iddff9882862e643679278736e83457e48"><enum>(10)</enum><text>Natural gas classifiable under subheading 2711.11 or 2711.21 of the HTS.</text></paragraph><paragraph id="idB3B2C66A60F244B2B90DA97AE0F34F73" commented="no"><enum>(11)</enum><text>Petrochemicals classifiable under heading 2901 or subheading 2711.14 of the HTS. </text></paragraph><paragraph id="id070b18f7a96e4f6f892d241e71a2a5be"><enum>(12)</enum><text>Plastics classifiable under any of headings 3901 through 3926 of the HTS.</text></paragraph><paragraph id="id0760895c83b34c258e93952eb4debe51"><enum>(13)</enum><text>Pulp and paper classifiable under any of headings 4701 through 4707 or 4801 through 4813 of the HTS.</text></paragraph><paragraph id="idaaf3d8c7903f4fc9924007ac807f20d0" commented="no"><enum>(14)</enum><text>Refined petroleum products classifiable under any of headings 2710, 2712 through 2715, or 2803 or subheadings 2902.20, 2902.30, or 2902.44, of the HTS. </text></paragraph><paragraph id="ida60abcfc359e47dd900fcd6c270a2f77"><enum>(15)</enum><text>Solar cells and panels classifiable under any of subheadings 8541.42 through 8541.43 or 8501.71 through 8501.80 of the HTS.</text></paragraph><paragraph id="iddae56b329ad34f929f0ce097b85ad73e"><enum>(16)</enum><text>Wind turbines classifiable under subheading 8502.31 of the HTS.</text></paragraph></subsection><subsection id="id4302dc590e3540d09fb88971d2d6ee6f"><enum>(b)</enum><header>Determination of relevant HTS numbers</header><paragraph commented="no" display-inline="no-display-inline" id="idb1138a66f4e449b3863fb20ab3af8558"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The Secretary shall include, in the final rule required by section 4698, a list of covered products that includes the appropriate heading or subheading of the HTS for each such product.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idd0af102d41014bc2b0685fed3a2b9cd7"><enum>(2)</enum><header>Scope</header><text>Inclusion of a HTS code under paragraph (1) shall only apply with respect to a covered product if such product is—</text><subparagraph commented="no" display-inline="no-display-inline" id="id98446f66d381425f800fed42bd096cbb"><enum>(A)</enum><text>described in subsection (a) and not subject to an exception under section 4692(d)(2), or</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ida5c14833deda40d393d289b319426c0d"><enum>(B)</enum><text>added pursuant to subsection (d) or (e).</text></subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id10634042b9e04500bf113beedc5d3489"><enum>(c)</enum><header>Naturally occurring covered products</header><paragraph commented="no" display-inline="no-display-inline" id="idc7f84fe7a99a47e39d15a853fd1db45a"><enum>(1)</enum><header display-inline="yes-display-inline">Pollution intensity calculations</header><text>In the case of a naturally occurring covered product which is refined in a manner whereby such product becomes a transforming part for multiple other products (referred to in this paragraph as a <term>resulting product</term>), the pollution intensity associated with the refining of the naturally occurring covered product shall be divided between the resulting products in a manner consistent with the proportion of the naturally occurring product which is utilized in each resulting product and the quantity of each resulting product. </text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id26f0d0a76c98407bbc010676189513f6"><enum>(2)</enum><header>Definition</header><text>For purposes of this subsection, the term <term>naturally occurring covered product</term> means crude oil or minerals.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id5ea45bf6b4f748f4a6291769c27c135a"><enum>(d)</enum><header>Additional covered products</header><paragraph commented="no" display-inline="no-display-inline" id="idec7f21477147449a8d241b8f577b805f"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text>An eligible entity may submit a petition (or, in the case of more than one eligible entity, may jointly submit a petition) to the Secretary for any product (based on the 6-digit subheading number of the product under the HTS) to be included as a covered product for purposes of this subchapter.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idbcb0500683674c6fbe81a2919769a06c"><enum>(2)</enum><header>Eligible entity</header><text>For purposes of this subsection, the term <term>eligible entity</term> means, with respect to any product—</text><subparagraph commented="no" display-inline="no-display-inline" id="id365421531beb470cad8cdb04182cf50b"><enum>(A)</enum><text display-inline="yes-display-inline">a domestic producer of such product, </text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id14d363b374964e89bae606f9abd2ceb2"><enum>(B)</enum><text>trade organizations consisting of producers of such product,</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idaec4d083c22340d89d197007a5191cfc"><enum>(C)</enum><text>labor unions representing individuals employed in the production of such product, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id010680ffb56549ee8e44748707672815"><enum>(D)</enum><text display-inline="yes-display-inline">individuals employed in the production of such product.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idf6093c874b8942b4ae3170102332c887"><enum>(3)</enum><header>Threshold</header><text>The Secretary may not approve a petition described in paragraph (1) with respect to any product unless not less than 50 percent of the total annual domestic production with respect to such product is attributable to domestic producers which are represented in such petition.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id1ba03cc01c7941c6b1e784fa8ff42359"><enum>(4)</enum><header>Measurement</header><subparagraph commented="no" display-inline="no-display-inline" id="idd15257522d564ba79ff62c6398eccb89"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">For purposes of determining whether the total annual domestic production requirement under paragraph (3) has been satisfied, the petitioners may elect whether such determination shall be made on the basis of—</text><clause commented="no" display-inline="no-display-inline" id="id1ee8e6da50374785bc0c9e70474d2252"><enum>(i)</enum><text display-inline="yes-display-inline">net tons of production during the preceding year, or</text></clause><clause commented="no" display-inline="no-display-inline" id="id581608209e8d4ecb89b75f8314d05f01"><enum>(ii)</enum><text>net monetary value of sales of the product during the preceding year.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id9857d455293b4ce68ca9bd6d59ff66ee"><enum>(B)</enum><header>Treatment of trade organizations</header><text>For purposes of subparagraph (A), in the case of a trade organization described in paragraph (2)(B), the total annual domestic production attributable to any domestic producer which is part of such organization shall be included for purposes of determining whether the requirement under such subparagraph has been satisfied.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id6c9362a91c86491e900c458062feed65"><enum>(C)</enum><header>Treatment of labor unions and individuals</header><text>For purposes of subparagraph (A), in the case of a labor union described in paragraph (2)(C) or individuals described in paragraph (2)(D) (referred to in this subparagraph as <term>petitioning employees</term>), the total annual domestic production attributable to such labor union or the petitioning employees shall be determined based on—</text><clause commented="no" display-inline="no-display-inline" id="idf29c7cc840af4cca898148fb9d899ade"><enum>(i)</enum><text display-inline="yes-display-inline">the total production of the product during the preceding year by any producer that employs members of such labor union or petitioning employees, and</text></clause><clause commented="no" display-inline="no-display-inline" id="id853db2a32d9f40e5a393cce87e3c890b"><enum>(ii)</enum><text display-inline="yes-display-inline">the percentage of the total number of employees of such producers during the preceding year who are members of such labor union or petitioning employees.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ida9ff4608835148c3affef744efbaebad"><enum>(D)</enum><header>Exclusion of double counting</header><text>In the case of more than 1 eligible entity which is included in a petition, the Secretary shall ensure that any production attributable to each such eligible entity is not included in the determination under paragraph (3) more than once. </text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id06087dc2bede47c397247caead074233"><enum>(5)</enum><header>Petition</header><text display-inline="yes-display-inline">With respect to any product, the petition described in paragraph (1) shall include—</text><subparagraph commented="no" display-inline="no-display-inline" id="id639fd805d679406aa1b262a7eba9df8b"><enum>(A)</enum><text display-inline="yes-display-inline">the applicable HTS code with respect to such product,</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id8a009b5717474f45b6522440a22b7bb9"><enum>(B)</enum><text>the eligible entities and the percentage of domestic production represented by such eligible entities, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id29905cb75adc47128d372a7ee0334669"><enum>(C)</enum><text>proposed methods for determination of the pollution intensity with respect to such product.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id0115d5bbfd6d49f78984994b152b8e0a"><enum>(6)</enum><header>Pollution intensity</header><text>For purposes of paragraph (5)(C), the proposed methods shall—</text><subparagraph commented="no" display-inline="no-display-inline" id="id62f85f069acd4c4c9407fdc4706cd6c4"><enum>(A)</enum><text display-inline="yes-display-inline">satisfy the applicable requirements under section 4693,</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id1ef0b08f4b204f49bb875aee4842df49"><enum>(B)</enum><text>utilize existing pollution intensity values for any covered component part, covered contributing part, or covered transforming part contained in the product, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id96cb6dfc6e09407b91cb34c07b62f7d8"><enum>(C)</enum><text>at the election of the petitioner, for purposes of achieving an accurate calculation of pollution intensity, include additional methods to determine the pollution intensity of any component part or transforming part which is not included under subparagraph (B).</text></subparagraph></paragraph><paragraph id="id72fd79abd1d24781832280920eee5c9e"><enum>(7)</enum><header>Implementation</header><subparagraph commented="no" display-inline="no-display-inline" id="idd7e61f88b95442ec9ac08ed49c2e8861"><enum>(A)</enum><header display-inline="yes-display-inline">In general</header><text>Not later than 30 days after the date on which the petition described in paragraph (1) was received by the Secretary, the Secretary shall determine whether the domestic production requirement under such paragraph is satisfied with respect to the product to be included as a covered product.</text></subparagraph><subparagraph id="idd7041550b4854fceb5e998379b658a77"><enum>(B)</enum><header>Inclusion as covered product</header><text>For purposes of subparagraph (A), if the Secretary determines that the domestic production requirement under paragraph (3) is satisfied with respect to the product—</text><clause commented="no" display-inline="no-display-inline" id="id3bd3af47a9b245c0aa19ce8d321f6111"><enum>(i)</enum><text display-inline="yes-display-inline">such product shall be included as a covered product for purposes of this subchapter,</text></clause><clause commented="no" display-inline="no-display-inline" id="id0eac7e16997c4d018ca6a0a65c763ae2"><enum>(ii)</enum><text>the inclusion of such product as a covered product shall be published in the Federal Register, and</text></clause><clause commented="no" display-inline="no-display-inline" id="id90254d4c674a4f2697c030e5bb3c8e6d"><enum>(iii)</enum><text display-inline="yes-display-inline">such product shall be subject to the rulemaking process under section 4698(d).</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id2f0f91d7257d45a0af97bce44a6ac69c"><enum>(C)</enum><header>Determination of pollution intensity</header><text>Subsequent to any determination under subparagraph (B) to include a product as a covered product for purposes of this subchapter, the Board shall—</text><clause commented="no" display-inline="no-display-inline" id="idd9a4bb26ec9344b59568d860b94b5a57"><enum>(i)</enum><text display-inline="yes-display-inline">review the proposed methods for determination of the pollution intensity with respect to such product (as described in paragraph (5)(C)), and</text></clause><clause id="idb7d7ab6dad564527bce9b4952ecf733a"><enum>(ii)</enum><text>make any adjustments necessary to—</text><subclause commented="no" display-inline="no-display-inline" id="id0d1f9a2189af47f88188a12a411aa0d0"><enum>(I)</enum><text display-inline="yes-display-inline">ensure compliance with the requirements under section 4693, and</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id9577f11867c44693b20d85a4c20e2df6"><enum>(II)</enum><text>account for availability of necessary data and information for such determination.</text></subclause></clause></subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ide5bbd41d62594dfcb1f352beaaa8e824"><enum>(e)</enum><header>Critical minerals</header><paragraph commented="no" display-inline="no-display-inline" id="id48811145a9e04ce984cf8136af4b882a"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">In the case of any mineral which—</text><subparagraph commented="no" display-inline="no-display-inline" id="id3b590148612a467ab93e4e7149ea140b"><enum>(A)</enum><text display-inline="yes-display-inline">is not described in subsection (a)(9), and </text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id58f0fbf537fe4ee8acbf7ebb103146c6"><enum>(B)</enum><text display-inline="yes-display-inline">is included on the list of critical minerals published by the United States Geological Survey,</text></subparagraph><continuation-text continuation-text-level="paragraph">the Secretary, in consultation with the United States Trade Representative, may elect to include such mineral as a covered product for purposes of this subchapter.</continuation-text></paragraph><paragraph id="idb28b90ad0f9743eabb596e4fa4b7a485"><enum>(2)</enum><header>Publication and rulemaking</header><text>In the case of any mineral which is included as a covered product by the Secretary pursuant to paragraph (1)—</text><subparagraph commented="no" display-inline="no-display-inline" id="id280D9C7548914AA68172A8738CDF7911"><enum>(A)</enum><text>the inclusion of such product as a covered product shall be published in the Federal Register, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idB5C8EBBDDDB043A49814422F366F3B5D"><enum>(B)</enum><text display-inline="yes-display-inline">such product shall be subject to the rulemaking process under section 4698(d). </text></subparagraph></paragraph></subsection><subsection id="idb51525afad6e407ea3ff30e42d11cfb4"><enum>(f)</enum><header>Application for additional covered products</header><text>With respect to any product included as a covered product under subsection (d) or (e), imposition of the fee under section 4691 shall take effect in the first calendar year beginning after the issuance of the final rule described in section 4698(d)(1)(B).</text></subsection></section><section id="idcfc2f6dc6bc14a2388ba64bea87a9a42"><enum>4696.</enum><header>National Laboratory Advisory Board on Global Pollution Challenges</header><subsection id="id52EA78380BBA4C908C0DFD9F2F5425FF"><enum>(a)</enum><header>In general</header><paragraph id="id44327900D5C843D8B84BC7F657221AD1"><enum>(1)</enum><header>Establishment</header><text>There is hereby established the National Laboratory Advisory Board on Global Pollution Challenges (referred to in this subchapter as the <term>Board</term>).</text></paragraph><paragraph id="idC5A641608D984E76A80730FB9166381C"><enum>(2)</enum><header>Duties</header><text>The Board shall—</text><subparagraph id="id857035BB372F4658BE4EA3FB1133A825"><enum>(A)</enum><text>in accordance with section 4693, establish methods of calculating—</text><clause commented="no" display-inline="no-display-inline" id="id7009722d6f3d4fc2acc18316f65fe254"><enum>(i)</enum><text display-inline="yes-display-inline">the baseline pollution intensity, as determined based on production of the covered product in the United States, and</text></clause><clause commented="no" display-inline="no-display-inline" id="idcf20e8914e024243b663ee765e8019a5"><enum>(ii)</enum><text>the respective pollution intensity for production of such covered product in any foreign country,</text></clause></subparagraph><subparagraph id="idC9BF82225F734B68B956AB2D19553E0B"><enum>(B)</enum><text>provide recommendations for rulemaking and reassessments in accordance with section 4698, and</text></subparagraph><subparagraph id="idE576E3D67274475F9FDC8D403D87A0A9"><enum>(C)</enum><text>provide assistance with regard to subsections (f) and (g) of section 4693, as well as any other requests from the Secretary.</text></subparagraph></paragraph><paragraph id="id6D47AD21DC2346B89DD7142739883EAC"><enum>(3)</enum><header>Chair</header><text>The chair of the Board (referred to in this section as the <term>Chair</term>) shall be the Director of the National Energy Technology Laboratory.</text></paragraph><paragraph id="idDD372FC0FCBD41508912BC9C48B4E8DD"><enum>(4)</enum><header>Deputy chairs</header><text>The deputy chairs of the Board (referred to in this section as the <term>Deputy Chairs</term>) shall be—</text><subparagraph id="id09BE73043AB8455792DA169EF540065B"><enum>(A)</enum><text>the Director of Idaho National Laboratory,</text></subparagraph><subparagraph id="id14DC64CCD7BB4D59B060275DE6C6BDFE"><enum>(B)</enum><text>the Director of the National Renewable Energy Laboratory,</text></subparagraph><subparagraph id="idE64F3CEF2B2A4E058F221863EFF85A36"><enum>(C)</enum><text>the Director of the Pacific Northwest National Laboratory, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idb9dde64949cf4e12aa0566a9a5c73713"><enum>(D)</enum><text>the Chair of the Council of Environmental Quality. </text></subparagraph></paragraph><paragraph id="id6AC273C4259D4D428C891CE8EB3AC3E9"><enum>(5)</enum><header>Other board members</header><subparagraph id="idCBEE200795D044E4A557434792F13218"><enum>(A)</enum><header>In general</header><text>In addition to the Chair and Deputy Chairs, the Board shall consist of—</text><clause id="id43818E2124114FD5ABD46455699059CE"><enum>(i)</enum><text>2 representatives from each of the industrial sectors described in paragraphs (1) through (16) of section 4695(a), and</text></clause><clause commented="no" display-inline="no-display-inline" id="idb5dc7927fc1b4fd6a9d9f9a1a70c88e0"><enum>(ii)</enum><text display-inline="yes-display-inline">1 representative from each relevant Federal agency, as designated by such agency.</text></clause></subparagraph><subparagraph id="id515C4C927EEC4A9D8EA077ABEF4463EE"><enum>(B)</enum><header>Appointment</header><clause id="idA979F4D69EC640F0951812A11941683D"><enum>(i)</enum><header>Initial appointment</header><text>For purposes of subparagraph (A)(i), each industrial sector described in paragraphs (1) through (16) of section 4695(a) shall (pursuant to clause (ii)) designate the representatives to serve for the 36-month period subsequent to the date of enactment of this subchapter.</text></clause><clause commented="no" display-inline="no-display-inline" id="id060028ce136648b4bb8b1070fd20ea01"><enum>(ii)</enum><header>Appointment process</header><text>The Secretary shall establish a process by which—</text><subclause commented="no" display-inline="no-display-inline" id="id3ffbbd1434a04e1c91639ac86e7906f3"><enum>(I)</enum><text display-inline="yes-display-inline">an individual who would satisfy the requirements described in subparagraph (C) can be nominated (including by self-nomination) to serve as a representative on the Board,</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id98feebe6597f4f3395de94b548e74d33"><enum>(II)</enum><text>allows each domestic producer of the relevant industrial sector the opportunity to elect individuals nominated under subclause (I) to serve on the Board,</text></subclause><subclause commented="no" display-inline="no-display-inline" id="idf32044e0b1ab4638b4bdda1d8c3e7566"><enum>(III)</enum><text>any representative elected to serve on the Board is designated in a timely manner with respect to relevant rulemakings under section 4698, and</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id3547ffc29ffd42de961402a72c69a3cf"><enum>(IV)</enum><text>a new round of nominations and elections occurs for each reassessment under section 4698(c).</text></subclause></clause></subparagraph><subparagraph id="id83F9D176B183449B9387DAEB65029E7B"><enum>(C)</enum><header>Representatives</header><text>For purposes of subparagraph (A)(i), each elected representative shall be the highest ranking officer (or their designee) of a domestic producer which—</text><clause id="id1DE4F317E64F485D9ABF6351D3749A49"><enum>(i)</enum><text>manufactures a product which is included under paragraphs (1) through (16) of section 4695(a), and</text></clause><clause id="idE7F72487A94646FF8D5BDCE08460E5FC"><enum>(ii)</enum><text>has annual revenues of greater than $40,000,000.</text></clause></subparagraph></paragraph><paragraph id="idC5D12CAAB7B442EAB4F9DDE985FA526A"><enum>(6)</enum><header>Approval of recommendations</header><text>For purposes of any recommendations required to be submitted to the Secretary under subsection (b), not less than two-thirds of the representatives described in paragraph (5)(A)(i) shall be required to approve such recommendation. </text></paragraph><paragraph id="idC9C5E75547854BDCBCD83D28B224FEB3"><enum>(7)</enum><header>Staff</header><subparagraph commented="no" display-inline="no-display-inline" id="idbb3cb4227630414d97741de9f68155b9"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">With respect to carrying out any duties described in paragraph (2), any laboratory described in paragraph (3) or (4) may designate staff to assist with such duties.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id12e0937dfa1343a99df2dfd6f19865aa"><enum>(B)</enum><header>Detailees</header><text>Upon the Board's request, the Administrator, the Secretary of Energy, and the Director of the Office of Science and Technology Policy shall detail, without reimbursement, employees from each agency to assist the Board in carrying out its duties under this section.</text></subparagraph></paragraph></subsection><subsection id="idCC38F513969543919F200D25D7EC4972"><enum>(b)</enum><header>Failure To submit recommendations</header><text>In any case in which the Board fails to timely transmit a recommendation under section 4698, the Secretary may establish rules, or alter reassessments, required under this section or section 4698 without consultation of the Board.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id3426adc88b74428aa257a43a0333d4c5"><enum>(c)</enum><header>No cause of action</header><text>Any recommendation, verification, or report issued by the Board under this section shall not create or give rise to any claim or cause of action. </text></subsection></section><section commented="no" display-inline="no-display-inline" section-type="subsequent-section" id="id9d0db933f3fa4a92a2b09685efa4d1bc"><enum>4697.</enum><header display-inline="yes-display-inline">Definitions</header><subsection commented="no" display-inline="no-display-inline" id="iddd3b931952c54e90b3c810784d8222fe"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">For purposes of this subchapter—</text><paragraph id="ida2b4e6c86b3d4d678e4be689e503c9fb"><enum>(1)</enum><header>Administrator</header><text>The term <term>Administrator</term> means the Administrator of the Environmental Protection Agency.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id273BEC91C0AB455CBB467667A9BB6E85"><enum>(2)</enum><header>Appropriate congressional committees</header><text>The term <term>appropriate congressional committees</term> means the Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id5a34988bf591421dbab6cacd8329c9ea"><enum>(3)</enum><header>Baseline pollution intensity</header><text>The term <term>baseline pollution intensity</term> means the pollution intensity associated with production of a covered product in the United States.</text></paragraph><paragraph id="id8cb59dc2239c4e098f9e71651757cfb6"><enum>(4)</enum><header>Carbon dioxide equivalent</header><text>The term <term>carbon dioxide equivalent</term> means, with respect to a greenhouse gas, the quantity of such gas that has a global warming potential equivalent, determined over a 100-year period, to 1 metric ton of carbon dioxide, as determined pursuant to table A–1 of subpart A of part 98 of title 40, Code of Federal Regulations, as in effect on January 1, 2023.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id9a2612d538f14e6b8165f0bac5998f5c"><enum>(5)</enum><header>Component part</header><text>The term <term>component part</term> means, with respect to a covered product, any component which is contained as an independent product utilized in the completed covered product.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id4dc0a6d05800481f9982b5dc003231c6"><enum>(6)</enum><header>Contributing part</header><text>The term <term>contributing part</term> means, with respect to a covered product, any product which was used in the creation of such covered product in a manner which is consistent with—</text><subparagraph commented="no" display-inline="no-display-inline" id="id83ca015a19964a00b2a9070162c14002"><enum>(A)</enum><text>combustion of such product to provide energy to produce the covered product, or</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idfb26444bf4d14ded8e719336f8eab30c"><enum>(B)</enum><text>utilization of such product to provide electricity necessary to operate machinery used to create the covered product.</text></subparagraph></paragraph><paragraph id="id2970ab1208494118b315a4940acc01f4"><enum>(7)</enum><header>Country of origin</header><text>The term <term>country of origin</term> means—</text><subparagraph commented="no" display-inline="no-display-inline" id="id48027b4d6e53437e801e759741f30701"><enum>(A)</enum><text display-inline="yes-display-inline">the country in which a covered product was produced, or </text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id52111c5db98944acb568fce2687f4644"><enum>(B)</enum><text display-inline="yes-display-inline">the last country in which a covered product was substantially transformed,</text></subparagraph><continuation-text continuation-text-level="paragraph">as determined in a manner consistent with U.S. Customs and Border Protection procedures, directly prior to importation into the United States.</continuation-text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idb0ca187ec2534109aca7b82e6559217b"><enum>(8)</enum><header>Covered component part</header><text>The term <term>covered component part</term> means any component part which is itself a covered product.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idfcd164ca4fad488d94381a021c8df8e5"><enum>(9)</enum><header>Covered contributing part</header><text>The term <term>covered contributing part</term> means any contributing part which is itself a covered product.</text></paragraph><paragraph id="iddcfd1cbce13840ae9d39a5a4031433b2"><enum>(10)</enum><header>Covered entity</header><text>The term <term>covered entity</term> means importer of record of a covered product at the time of the importation of such product.</text></paragraph><paragraph id="id1c0e7d82812645f2951f2cbee066a150"><enum>(11)</enum><header>Covered transforming part</header><text>The term <term>covered transforming part</term> means any transforming part which is itself a covered product.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id63c182d9bc4048569ffcdc6eddc4c25f"><enum>(12)</enum><header>Domestic producer</header><text>The term <term>domestic producer</term> means a producer which—</text><subparagraph commented="no" display-inline="no-display-inline" id="id932fe2cb702d4839b62fe12df2b588ee"><enum>(A)</enum><text display-inline="yes-display-inline">has filed their articles of incorporation in the United States, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="iddaef620822604c00ab3aa7a54565bd41"><enum>(B)</enum><text>is not a subsidiary of an entity which is incorporated in a nonmarket economy country.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idb6561a4a271442ccab9c98978375c763"><enum>(13)</enum><header display-inline="yes-display-inline">Export or development financing</header><text>The term <term>export or development financing</term> means financing—</text><subparagraph id="id817D1EEA23504E1A977B8A8481BCB3F2"><enum>(A)</enum><text>for the purposes of—</text><clause id="id5FF70AD71B0A464580E8DEDCA8FC788C"><enum>(i)</enum><text>developing international production capacity, or </text></clause><clause id="id2F4637E6AEC0465999361089EF8BE536"><enum>(ii)</enum><text>securing the exportation of goods or technology manufactured in the United States (including technologies used to manufacture covered products), and</text></clause></subparagraph><subparagraph id="idFA068176A2DC43098811D6DC5C81379D"><enum>(B)</enum><text>which is provided by—</text><clause id="id75d767d0cc094d6ba48fb9f8b17aa8d0"><enum>(i)</enum><text>the Department of Energy,</text></clause><clause id="id0bbe16960333433d8189468f241a47c0"><enum>(ii)</enum><text>the Department of Commerce,</text></clause><clause id="id2e6ea0d13ce24ee1b812f3371835373a"><enum>(iii)</enum><text>the Department of State,</text></clause><clause id="id4096beb593cf43059ef0681b57b9367f"><enum>(iv)</enum><text>the Export-Import Bank of the United States,</text></clause><clause id="id354e7f8379f84d4fa25c19914daeea24"><enum>(v)</enum><text>the United States International Development Finance Corporation,</text></clause><clause id="idc802fd6d39494c55bfac39794e00bfc6"><enum>(vi)</enum><text>the Trade and Development Agency,</text></clause><clause id="id6fb8061adcfa436bb2deb727c3c6224a"><enum>(vii)</enum><text>the United States Agency for International Development, or</text></clause><clause id="idb4dba8d78c4b42da8844a8af4c884545"><enum>(viii)</enum><text>the Office of the United States Trade Representative.</text></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idba935f078bcf470a84ac208324424bff"><enum>(14)</enum><header>Free trade agreement</header><text>The term <term>free trade agreement</term> means an agreement with 1 or more countries which—</text><subparagraph commented="no" display-inline="no-display-inline" id="id56a8a46ac6e24587ab067305c1350fe3"><enum>(A)</enum><text display-inline="yes-display-inline">reduces or eliminates tariffs and non-tariff barriers between the countries party to such agreement, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id78b68e60910d4c748e46e986ee4e2650"><enum>(B)</enum><text>is approved by Congress.</text></subparagraph></paragraph><paragraph id="id976DB5FB00654EDB817E76E1841CFEB2"><enum>(15)</enum><header>Greenhouse Gas</header><text>The term <term>greenhouse gas</term> has the meaning given such term in section 98.6 of title 40, Code of Federal Regulations (as in effect on the date of enactment of this subchapter).</text></paragraph><paragraph id="id1d83a7c83ebb40a99f56cb163edf0225"><enum>(16)</enum><header>HTS</header><text>The term <term>HTS</term> means the Harmonized Tariff Schedule of the United States.</text></paragraph><paragraph id="id364903a979ca43a38232159dc300d5b2"><enum>(17)</enum><header>International partnership agreement</header><text>The term <term>international partnership agreement</term> means an international partnership agreement established pursuant to title II of the <short-title>Foreign Pollution Fee Act of 2023</short-title>.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id266f670837d84d12a9b255d7c0ed1913"><enum>(18)</enum><header>Nonmarket economy country</header><text>The term <term>nonmarket economy country</term> has the meaning given such term in section 771(18) of the Tariff Act of 1930 (<external-xref legal-doc="usc" parsable-cite="usc/19/1677">19 U.S.C. 1677(18)</external-xref>).</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id4cbd063c9b8a48018e72cd6f5acce5e4"><enum>(19)</enum><header>Point source pollution</header><text>The term <term>point source pollution</term> means pollution emitted into the ambient air at the site of the manufacturing of a product.</text></paragraph><paragraph id="id2243118A086B4AE38CC10332F54E8B7E"><enum>(20)</enum><header>Pollution</header><text>The term <term>pollution</term> means greenhouse gas emissions.</text></paragraph><paragraph id="id07D95647D71341848B6880A72F0BBD74"><enum>(21)</enum><header>Pollution intensity</header><text>The term <term>pollution intensity</term> means the amount of greenhouse gases (as determined under section 4693), expressed in metric tons of carbon dioxide equivalent, which are emitted into the atmosphere in the production of a single unit of a covered product (as determined pursuant to section 4691(c)).</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idb29c023a8760447dad07ea0c4d666766"><enum>(22)</enum><header>Pollution intensity difference</header><text>The term <term>pollution intensity difference</term> means, with respect to any covered product, the difference (expressed as a percentage) between—</text><subparagraph commented="no" display-inline="no-display-inline" id="id386297639b7c4ab19db8ab67da847795"><enum>(A)</enum><text display-inline="yes-display-inline">the pollution intensity associated with production of such product in the country of origin, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id022fef3feb3649aeba5e75a1ef14e8c2"><enum>(B)</enum><text display-inline="yes-display-inline">the baseline pollution intensity with respect to such product.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id138723c4d6a9457abed29a36b335c0cc"><enum>(23)</enum><header>Producer</header><text>The term <term>producer</term> means the entity responsible for the creation of a product through—</text><subparagraph commented="no" display-inline="no-display-inline" id="id4d956ee0fb274a48a4e2296b1df959cf"><enum>(A)</enum><text display-inline="yes-display-inline">a manufacturing process, or</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id4314340422374e409546a3af6427fa4d"><enum>(B)</enum><text>in the case of a geologic resource, extraction.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id091e32c2a3334ab5a7540695f88e6057"><enum>(24)</enum><header>Product</header><text>The term <term>product</term> means any article, regardless of whether such article is—</text><subparagraph commented="no" display-inline="no-display-inline" id="id352494f6fc724f6eaf3371ed87250933"><enum>(A)</enum><text display-inline="yes-display-inline">exported from the country of origin, or </text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id813598e8ef294399bbb493d079a5a36d"><enum>(B)</enum><text display-inline="yes-display-inline">produced and sold only within the country of origin. </text></subparagraph></paragraph><paragraph id="idAD70DC5B0C3D43B5BF7B427DECB49542"><enum>(25)</enum><header>Relevant Federal agency</header><text>The term <term>relevant Federal agency</term> means—</text><subparagraph id="id1261752178F9435FB08758B726B02BF9"><enum>(A)</enum><text>the Department of the Treasury,</text></subparagraph><subparagraph id="id999460C20CEF4773B7511F0A53CF3746"><enum>(B)</enum><text>the Department of Energy,</text></subparagraph><subparagraph id="id1C188C39D616462A94BD8AF4124763B2"><enum>(C)</enum><text>the Office of the United States Trade Representative,</text></subparagraph><subparagraph id="idEA65F562EA8047859FAB24E01C12DFBB"><enum>(D)</enum><text>the Department of Commerce,</text></subparagraph><subparagraph id="idEC72B7B1234D41C1A4BA777C22DBC9EE"><enum>(E)</enum><text>the Department of State,</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idf11d1565f98249b9be56a0e0bf20581f"><enum>(F)</enum><text display-inline="yes-display-inline">the Environmental Protection Agency,</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id0e450671a1a348eb8046bd62e64811bb"><enum>(G)</enum><text>the Council on Environmental Quality,</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id6275f6f184db4b32a744ce605954fc5f"><enum>(H)</enum><text display-inline="yes-display-inline">the Office of Science and Technology Policy, and</text></subparagraph><subparagraph id="id9606108246244EA9A3226AC32B77E062"><enum>(I)</enum><text>the Department of Homeland Security.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ided3042f433df460e8d3f536f58c3d49e"><enum>(26)</enum><header>Transforming part</header><text display-inline="yes-display-inline">The term <term>transforming part</term> means a product which is substantially transformed or refined into another product.</text></paragraph><paragraph id="idFA40BDEB2D9A44249BC3E1F51011ED67"><enum>(27)</enum><header>Upstream pollution</header><text>The term <term>upstream pollution</term> means, with respect to any covered product—</text><subparagraph commented="no" display-inline="no-display-inline" id="ida6bf6423b4e44fe2963e7ab7bc6372ec"><enum>(A)</enum><text display-inline="yes-display-inline">the pollution associated with all covered component parts, covered contributing parts, and covered transforming parts, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id4d6c772f27cb48c59749de48dc49a665"><enum>(B)</enum><text>any fugitive pollution which occurs during extraction, refining, and transport of any part described in subparagraph (A).</text></subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id3a82f354d1b74a6a941099c06aa38b25"><enum>(b)</enum><header>World Bank classifications</header><text>For purposes of this subchapter—</text><paragraph commented="no" display-inline="no-display-inline" id="id8362883d51c44fdeb653de63c68fafdc"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Subject to paragraph (2), the terms <term>high-income country</term>, <term>upper-middle-income country</term>, <term>lower-middle-income country</term>, and <term>low-income country</term> shall be defined based on the classification of the economy of a country by the World Bank.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idadf747018542436286fcd01b79b9f332"><enum>(2)</enum><header>High-income and upper-middle-income countries</header><text>In the case of any country which, as of January 1, 2023, is classified by the World Bank as a high-income country or an upper-middle-income country, such country shall not be eligible to be reclassified as a lower-middle-income country or a low-income country.</text></paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="idd24e408c1b2b4ff5bdac8fba1eac3284"><enum>4698.</enum><header>Establishment process and reassessments</header><subsection commented="no" display-inline="no-display-inline" id="idb324257c3c924d6ebd87aea5d655c140"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">The processes established under this section shall be utilized to—</text><paragraph commented="no" display-inline="no-display-inline" id="idee8469e119ba4929b96c516f0696d25b"><enum>(1)</enum><text display-inline="yes-display-inline">provide the initial rules for application of the fee imposed under section 4691, and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id48c88ca5ada84e2d824a02c10d4495a0"><enum>(2)</enum><text display-inline="yes-display-inline">perform any required reassessment.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id11855a37145246d085c8e3af101c86c7"><enum>(b)</enum><header>Initial rulemaking</header><paragraph commented="no" display-inline="no-display-inline" id="ida1985bf4e7104958888175d29af51cf0"><enum>(1)</enum><header display-inline="yes-display-inline">Classification of covered products</header><text display-inline="yes-display-inline">Not later than 12 months after the date of enactment of this subchapter, the Secretary shall issue a final rule for purposes of—</text><subparagraph commented="no" display-inline="no-display-inline" id="id8ec7612f0afe442095c4caad1a9f1dba"><enum>(A)</enum><text display-inline="yes-display-inline">determining the appropriate heading or subheading number of the HTS for each covered product (as required under section 4695(b)); and </text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id7923d45e857845b0bfe3a93a9b68a456"><enum>(B)</enum><text display-inline="yes-display-inline">determining the appropriate measurement of any covered product (as described in section 4691(c)).</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idd5438081a66e4946977534adcde0191d"><enum>(2)</enum><header>Pollution intensity calculations</header><subparagraph commented="no" display-inline="no-display-inline" id="idbb49581b1b394d9dba931fca16e736be"><enum>(A)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Not later than 18 months after the date of enactment of this subchapter, the Secretary shall publish a final rule establishing—</text><clause commented="no" display-inline="no-display-inline" id="id3fb22cb7d25c49b69d4c68bf8121c868"><enum>(i)</enum><text display-inline="yes-display-inline">in a manner consistent with section 4693, the pollution intensity with respect to each covered product and country of origin, and</text></clause><clause commented="no" display-inline="no-display-inline" id="idc37291194350408b9ccc1311fb0fd5b8"><enum>(ii)</enum><text display-inline="yes-display-inline">methods for any foreign country to establish an alternative pollution intensity with respect to any covered product pursuant to subsection (f) of such section.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id162c7550135d4654944b052f72c7b962"><enum>(B)</enum><header>Circumvention</header><text display-inline="yes-display-inline">Not later than 36 months after the date of enactment of this subchapter, the Secretary shall publish a final rule to address producers described in section 4693(g).</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idf650657abaef4bb8834e34c7b93c2e80"><enum>(3)</enum><header>Establishment of variable charges</header><text display-inline="yes-display-inline">Not later than 24 months after the date of enactment of this subchapter, the Secretary (in consultation with the United States Trade Representative) shall issue a final rule establishing the variable charge for covered products for purposes of section 4692.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id8193a16911724ce88ec7fda1258aae27"><enum>(4)</enum><header>Additional rulemaking</header><text display-inline="yes-display-inline">In addition to the rules described in paragraphs (1) through (3), any rules which are necessary in order to properly apply the fee under section 4691 shall be issued not later than the date which 24 months after the date of enactment of this subchapter.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idcb1037ff163544909afbee0474765d55"><enum>(c)</enum><header>Reassessment</header><paragraph commented="no" display-inline="no-display-inline" id="id9e708aa3fa28486595702962f4026de6"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Not later than 3 years after the date of the issuance of any final rule described in subsection (b), and every 3 years thereafter, the Secretary shall reassess and, as necessary, issue a final rule to adjust, the existing final rule.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id1a7de734d137475d90c5d846a6256a85"><enum>(2)</enum><header>Revision</header><text display-inline="yes-display-inline">The United States International Trade Commission, in consultation with the Secretary, shall annually publish a notice reflecting headings, subheadings, and statistical reporting numbers of the HTS contained in any rule issued under this section which need to be amended due to revisions to the HTS.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idf3fda9168e67467498360440fe83537f"><enum>(3)</enum><header>Newly available data</header><text display-inline="yes-display-inline">With respect to any reassessment described in paragraph (1), the Secretary may utilize any data which is available as a result of enhancements in the ability to assess domestic or foreign pollution pursuant to legislation enacted or developments in technology subsequent to the issuance of the most recent final rule.</text></paragraph><paragraph id="idC3BD0F054054416ABA3E46524B18CD26"><enum>(4)</enum><header>International partnerships</header><text display-inline="yes-display-inline">In the case of an international partnership agreement, the Secretary may, at the time of the establishment of such agreement and in a manner consistent with such agreement, issue a final rule to adjust the pollution intensity for any covered product (as determined pursuant to subsection (b)(2)) produced in a country which is a party to such agreement.</text></paragraph><paragraph id="id2D3FCC0FEA8D493098ECDE23E544160E"><enum>(5)</enum><header>Timing</header><text>In the case of any final rule issued with respect to any reassessment under paragraph (1), the application of such rule shall take effect on January 1 of the first calendar year beginning subsequent to the issuance of such final rule.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id3d70b2a0b0d64f15889c31e1347739c1"><enum>(d)</enum><header>Additional covered products</header><paragraph commented="no" display-inline="no-display-inline" id="idcb15d281c94e4d4db41dfc9f970524e0"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">With respect to any product which is included as a covered product pursuant to subsection (d) or (e) of section 4695 following the publication in the Federal Register (as described in subsection (d)(7)(B)(ii) or subsection (e)(2)(A) of such section, as applicable)—</text><subparagraph commented="no" display-inline="no-display-inline" id="id8b5d7f0ab6534b56bc5a374a519f6d7b"><enum>(A)</enum><text display-inline="yes-display-inline">not later than 12 months after the date of such publication, the Secretary shall issue a final rule with respect to the pollution intensity of such covered product and any country of origin consistent with the requirements under section 4693, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idc432475dc18d40669995e25cc91c92c4"><enum>(B)</enum><text display-inline="yes-display-inline">not later than 6 months after the issuance of the final rule described in subparagraph (A), the Secretary shall issue a final rule establishing the variable charge for such covered product consistent with the requirements under section 4692.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idb8f321e9381a4ed6a95302d881579a4c"><enum>(2)</enum><header>Reassessments</header><subparagraph commented="no" display-inline="no-display-inline" id="id7bcffb56cc504ffdbcace2c6cac46195"><enum>(A)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Except as provided in subparagraph (B), any classification or rule established pursuant to paragraph (1) with respect to any covered product shall remain in effect under the next reassessment under subsection (c).</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id78261b0d31404325a36038f1633aa5c3"><enum>(B)</enum><header>Exception</header><text display-inline="yes-display-inline">With respect to any product included as a covered product under subsection (d) or (e) of section 4695, if the date for imposition of the fee under section 4691 (as determined pursuant to section 4695(f)) is less than 1 year from the date of the next reassessment under subsection (c), such product shall not be subject to such reassessment.</text></subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="iddf4fd7072ee24ace832f89e563258e11"><enum>(e)</enum><header>Process</header><paragraph commented="no" display-inline="no-display-inline" id="id733cd86c7a154613916fded496fabbf1"><enum>(1)</enum><header display-inline="yes-display-inline">Board recommendations</header><text display-inline="yes-display-inline">Not later than 6 months prior to—</text><subparagraph commented="no" display-inline="no-display-inline" id="idd248d72b381b4583aae0b4ee5d9289a6"><enum>(A)</enum><text display-inline="yes-display-inline">the date on which any final rule is required to be issued under paragraph (1), (2), or (3) of subsection (b), and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id2929e8d84f9047c99cb08531f6b59368"><enum>(B)</enum><text display-inline="yes-display-inline">the date on which any reassessment is required to be made under subsection (c)(1),</text></subparagraph><continuation-text continuation-text-level="paragraph">the Board shall provide recommendations to the Secretary with respect to such final rule or reassessment.</continuation-text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idb4878ebca9e24758917e57231f6b673f"><enum>(2)</enum><header display-inline="yes-display-inline">Notice</header><text>Not later than 30 days after receiving the recommendations of the Board provided under paragraph (1), the Secretary shall—</text><subparagraph commented="no" display-inline="no-display-inline" id="idbab6ae66b562407e94363a1d551f471e"><enum>(A)</enum><text display-inline="yes-display-inline">publish a notice of proposed rulemaking based on such recommendations with respect to the final rule or reassessment, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id5644bcecd0e146df952121c2a6482954"><enum>(B)</enum><text>brief the appropriate congressional committees and consult with such committees regarding such final rule or reassessment.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id8bbdab624917427daf6723fdb4b1f568"><enum>(3)</enum><header display-inline="yes-display-inline">Comment</header><text>Following the notice under paragraph (2)(A), the Secretary shall provide a public comment period of not less than 60 days.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id93576624f02e44a98c7ab1ba22e53729"><enum>(4)</enum><header display-inline="yes-display-inline">Consultation</header><text>Prior to the issuance of any final rule or reassessment under this section regarding the appropriate classification of covered products, the Secretary shall consult with—</text><subparagraph commented="no" display-inline="no-display-inline" id="idede4044c1aea4d1783891ba368c83477"><enum>(A)</enum><text display-inline="yes-display-inline">the United States Trade Representative, </text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="iddae26e275b934b39a219efe4fa03fa5f"><enum>(B)</enum><text display-inline="yes-display-inline">the United States International Trade Commission, </text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idc0aded9e73224107b9ed1628f5c0f3e5"><enum>(C)</enum><text display-inline="yes-display-inline">the Commissioner of U.S. Customs and Border Protection, and </text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id0adbf71499d54d74ac3424cdf6a998df"><enum>(D)</enum><text display-inline="yes-display-inline">all other relevant Federal agencies.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id4f5bf3c2db92492db17e62caca871c9f"><enum>(5)</enum><header display-inline="yes-display-inline">Publication</header><text>The publication of any final rule required under this section shall include a statement from the Secretary explaining any deviation from the recommendations submitted by the Board pursuant to paragraph (1).</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idcbb24be757b64427acfcc2772b3f2f84"><enum>(f)</enum><header>Judicial review</header><paragraph commented="no" display-inline="no-display-inline" id="id886a7cc19e414dd38d7f096268f2af5c"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The United States Court of Appeals for the District of Columbia Circuit shall have original and exclusive jurisdiction over any claim with respect to any final rule issued under this section.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id27818a4fa0ee45ff90a7e5c08449e0d1"><enum>(2)</enum><header>Limitation</header><text>No final rule issued under this section shall be subject to judicial review unless—</text><subparagraph commented="no" display-inline="no-display-inline" id="iddb8160e02d004c5f97804a1e22a10be3"><enum>(A)</enum><text display-inline="yes-display-inline">the claim is filed not later than 30 days after the issuance of such rule, and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id5e8d2b81c8b04bc08b98260dbf78a7fc"><enum>(B)</enum><text display-inline="yes-display-inline">the person filing such claim—</text><clause commented="no" display-inline="no-display-inline" id="id74d7ccc4b0544a92bdd0a12fc5c96829"><enum>(i)</enum><text display-inline="yes-display-inline">is a citizen of the United States or a domestic producer, and</text></clause><clause commented="no" display-inline="no-display-inline" id="idc0254eb7863443998e87c1b10ec77803"><enum>(ii)</enum><subclause commented="no" display-inline="yes-display-inline" id="idba3d0acef24b4b238d01c6b48be1a524"><enum>(I)</enum><text display-inline="yes-display-inline">demonstrates that—</text><item commented="no" display-inline="no-display-inline" id="id42459dab5654496daad2ddb669f9bbf0" indent="up1"><enum>(aa)</enum><text display-inline="yes-display-inline">application of such rule will result in the infliction of a direct and tangible harm to such person, and</text></item><item commented="no" display-inline="no-display-inline" id="ide53143f484584c26936bfa5e17fa0505" indent="up1"><enum>(bb)</enum><text display-inline="yes-display-inline">the rulemaking process was conducted in a manner that was intended to directly harm such person, or</text></item></subclause><subclause commented="no" display-inline="no-display-inline" indent="up1" id="idcc2eeb7a4f0d42758d554a473982bc8f"><enum>(II)</enum><text display-inline="yes-display-inline">demonstrates that such final rule—</text><item commented="no" display-inline="no-display-inline" id="id2b79d5846bba4a6db3cf9bcbf8da2130"><enum>(aa)</enum><text display-inline="yes-display-inline">altered the recommendations made by the Board, and</text></item><item commented="no" display-inline="no-display-inline" id="idce162a016dce47db936715f7462434d7"><enum>(bb)</enum><text display-inline="yes-display-inline">would limit the ability to attain the goals established under section 4692(c)(2).</text></item></subclause></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id8f4f36affe3d43d2b3c938e53d083f7a"><enum>(3)</enum><header>Acceptable action</header><text display-inline="yes-display-inline">Notwithstanding any claim or cause of action filed with respect to any provision of this subchapter—</text><subparagraph commented="no" display-inline="no-display-inline" id="idb0176c7125cd42c7bf0eb1c0ca88ffb0"><enum>(A)</enum><text display-inline="yes-display-inline">the applicable date described in section 4691(a)(2),</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idc97f4b5245a9471eb374c5a24be8ddbb"><enum>(B)</enum><text display-inline="yes-display-inline">the application of reassessment pursuant to subsection (c), and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id63681ae15bf24923b4a7415458dea564"><enum>(C)</enum><text display-inline="yes-display-inline">with respect to covered products included pursuant to subsection (d) or (e) of section 4695, the date for imposition of the fee under section 4691 to take effect (as determined under section 4695(f)),</text></subparagraph><continuation-text continuation-text-level="paragraph">shall not be subject to judicial review and shall not be subject to delay or suspension.</continuation-text></paragraph></subsection></section></subchapter><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><enum>II</enum><header>International Partnership Agreements Relating to Pollution Fees</header><section id="idCAF7A4B408AB4C46822F85B68CFC2924"><enum>201.</enum><header>International partnership agreements</header><subsection id="id9faa221c165e4c19805d6f01c0f27a25"><enum>(a)</enum><header>In general</header><text>The United States Trade Representative, at the direction of the President, may—</text><paragraph id="id96a5695889f141f1bbde0452bb248e67"><enum>(1)</enum><text>engage in negotiations with countries to encourage the establishment and expansion of international partnership agreements, as provided in this title;</text></paragraph><paragraph id="id92c26404543442cf933dfbd7167d9afb"><enum>(2)</enum><text>establish agreements with foreign countries with respect to proposals to enter into international partnership agreements;</text></paragraph><paragraph id="id5013d88ba5984372933ca8c729b1652d" commented="no"><enum>(3)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="id3afbeb8d52f846f3adf3da05834e2866"><enum>(A)</enum><text>implement such an agreement in accordance with subsection (e); or </text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id1f8814e269d04370b5d45810c47bb5e0" indent="up1"><enum>(B)</enum><text display-inline="yes-display-inline">submit a proposal to Congress under subsection (f) with respect to such an agreement and implement the agreement following the approval of Congress in a manner consistent with that subsection; and</text></subparagraph></paragraph><paragraph id="id5e9595f2ffac4fa8b92e7ad0f527b99b"><enum>(4)</enum><text>perform the oversight and enforcement role necessary to uphold any such agreement.</text></paragraph></subsection><subsection id="id1637e348797c4359b68f7f196c555f5f"><enum>(b)</enum><header>Consultation during negotiation for international partnership agreements</header><paragraph id="id2b52587e1bf3409eb48658abb9f12587"><enum>(1)</enum><header>In general</header><text>With respect to negotiations for an international partnership agreement under this title, the Trade Representative shall—</text><subparagraph id="id8FCFCB7563B645BEA7A71F28FD19AD5D"><enum>(A)</enum><text>consult closely and on a timely basis with the appropriate congressional committees, keeping those committees fully apprised of the negotiations; and </text></subparagraph><subparagraph id="id407FD0B52DA94F66A9A7C0FCE4A04422"><enum>(B)</enum><text>provide to those committees, including staff with appropriate security clearances, access to the text of any negotiating proposal or any other document presented by the United States or another party to the negotiations that presents concepts or considerations for the negotiations not later than 5 business days before the proposal or other document is formally brought up for consideration in the negotiations.</text></subparagraph></paragraph><paragraph id="id2d1f947d043041d2ba152d854ab8cf8a"><enum>(2)</enum><header>Designation of advisors</header><text>The chairperson and ranking member of each of the appropriate congressional committees may each designate not more than 5 Members of Congress on their committee and not more than 4 individuals on the staff of that committee as official advisors to negotiations.</text></paragraph><paragraph id="id5687c7ee5dbb41dc9b97c02e80db3603"><enum>(3)</enum><header>Briefing</header><subparagraph id="id9e433f8ccd404771bb22ab3dda9cff4b"><enum>(A)</enum><header>In general</header><text>The Trade Representative shall brief the appropriate congressional committees before and after every negotiation session in relation to an international partnership agreement.</text></subparagraph><subparagraph id="id2de2ad84af704178bed1890a91ca64ae"><enum>(B)</enum><header>Timing</header><text>A briefing required by subparagraph (A) following a negotiating session shall take place not later than 5 business days following the session. </text></subparagraph></paragraph></subsection><subsection id="id2f9f0e1ba9ba40bcb6aabb1beeb0d392"><enum>(c)</enum><header>Requirements for international partnership agreements</header><paragraph id="id75e0065b9edb484c9310608e1ad73d56"><enum>(1)</enum><header>In general</header><text>An international partnership agreement may be entered into under this title on the basis of one covered product, multiple covered products, or all covered products.</text></paragraph><paragraph id="id655eadc979534511a38575db2a4f1e0a"><enum>(2)</enum><header>Participation</header><subparagraph id="idE9223946B3314ACC8944EE330A65E240"><enum>(A)</enum><header>In general</header><text>Subject to the requirements under paragraph (3), the United States may enter into an international partnership agreement under this title with—</text><clause id="ida4cbcb7dba1046eda5af1a5502871c64"><enum>(i)</enum><text>one country;</text></clause><clause id="id106eb31ef4a54cffa73004279c25f8ad"><enum>(ii)</enum><text>multiple countries; or</text></clause><clause id="id0ea780b04b784c1098a35cf20ff497f2"><enum>(iii)</enum><text>a group of countries participating in an international forum such as the Organisation for Economic Co-operation and Development or the Group of Seven (G7).</text></clause></subparagraph><subparagraph id="id5700f1a1f68248faba1a906b8ab095f8"><enum>(B)</enum><header>Expansions of ex post congressional-executive international partnership agreements</header><text>In the case of an international partnership agreement previously approved by Congress under subsection (f), additional countries may be added to the agreement without requiring further approval by Congress if the only changes to the agreement—</text><clause id="idfe2c462bab81404599c307eecc0cb7e7"><enum>(i)</enum><text> are the addition of a new country to the agreement; and</text></clause><clause id="id905cda75acdf43fba2d078473614c8ba" commented="no"><enum>(ii)</enum><text>do not require alterations to subchapter E of the Internal Revenue Code of 1986, as added by title I.</text></clause></subparagraph></paragraph><paragraph id="id247c869dc7114d2f864b5187a42b2f42"><enum>(3)</enum><header>Requirements</header><text>An international partnership agreement entered into under this title is required to provide for—</text><subparagraph id="id662ecaebbdd145268f5ef2334746ffe0"><enum>(A)</enum><text>creation of compatible methods to promote pollution reduction through trade mechanisms by assessing pollution intensity differences between countries;</text></subparagraph><subparagraph id="idf15992dd6d3c42db8488ff3bb15e5336"><enum>(B)</enum><text>maintenance of the ability of a country that is a party to the agreement to determine methods of pollution reduction within that country;</text></subparagraph><subparagraph id="id9e69a5e623c849af8da7cf1d1502d5a4"><enum>(C)</enum><text>elimination of any fee or charge between countries that are parties to the agreement in a manner compatible to the process described in section 202;</text></subparagraph><subparagraph id="idfeeaeef7e36e435ba87756398890c32f"><enum>(D)</enum><text>elimination or reduction of other duties, import fees, and trade barriers maintained by the country related to covered products;</text></subparagraph><subparagraph id="ide76c3cdca6d149d3967915b934b2007e"><enum>(E)</enum><text>compatible pollution monitoring, reporting, and verification methods that—</text><clause id="idbde7f5b3a277441fa5a7d67e4d4d3c35"><enum>(i)</enum><text>allow for similar methods to be used to calculate the pollution intensity of covered products and countries that are parties to the agreement, on the basis of the available information within each such country; </text></clause><clause id="idda676dad3258497eb5dac612773be2ea"><enum>(ii)</enum><text>allow for similar methods to be used to calculate the pollution intensity of covered products imported from countries that are not parties to the agreement; and</text></clause><clause id="id86e7045fe75349abac54c4ce7f712adb"><enum>(iii)</enum><text>allow for each country that is a party to the agreement to consistently validate the monitoring and reporting information of the other countries that are parties to the agreement with respect to products covered by the agreement; </text></clause></subparagraph><subparagraph id="id7d96d75c13fe4adb86a5eab12164d763"><enum>(F)</enum><text>design characteristics compatible with subchapter E of the Internal Revenue Code, as added by title I;</text></subparagraph><subparagraph id="ida9a387f8563c4cf6932e56c3d661fced"><enum>(G)</enum><text>design characteristics compatible with the provisions of this title; and</text></subparagraph><subparagraph id="idd06041785f37402e9b6cad6e2acd6781"><enum>(H)</enum><text>processes for how to add—</text><clause id="id416b13bbf0a345c8ba6238c520552283"><enum>(i)</enum><text>additional countries to the agreement; and</text></clause><clause id="ide215a56656a445faabfc0996d9da5074"><enum>(ii)</enum><text>additional covered products to the agreement.</text></clause></subparagraph></paragraph><paragraph id="id70ad88e42ce44196b8ffa69b85dd59e8"><enum>(4)</enum><header>Consideration of third-party participation</header><subparagraph id="id3c19caa0207c4b208b423b1a97c2fab7"><enum>(A)</enum><header>In general</header><text>An international partnership agreement entered into under this title may include direction for an entity that is not from a country that is a party to the agreement to—</text><clause id="id763f350a865348769504a08239577bc8"><enum>(i)</enum><text>serve as a repository of relevant pollution data from countries that are parties to the agreement;</text></clause><clause id="idb2003b464aa542899744a02f7be52025"><enum>(ii)</enum><text>provide validation of pollution intensity calculations and other requirements under paragraph (3); and</text></clause><clause id="id8696d70240484d3e8925aba942041a12"><enum>(iii)</enum><text>adjudicate discrepancies with respect to such data and requirements between countries that are parties to the agreement.</text></clause></subparagraph><subparagraph id="idf4b29366e8074c61826cd1e059f70011"><enum>(B)</enum><header>Limitations</header><clause id="id29182cd297374d2cab70c52ce8c78c9a"><enum>(i)</enum><header>Access to information</header><text>An international partnership agreement entered into under this title is required to provide for each country that is a party to the agreement to maintain the ability to access and validate any pollution information related to other countries that are parties to the agreement.</text></clause><clause id="id33c50d3b1edb4792992cb5dd380485d8"><enum>(ii)</enum><header>Scope of adjudication</header><subclause id="idce3805ec17164e3b9d0002001daacac9"><enum>(I)</enum><header>In general</header><text>An entity described in subparagraph (A) may adjudicate discrepancies between countries that are parties to an international partnership agreement entered into under this title only to the extent that such discrepancies relate to requirements under the agreement.</text></subclause><subclause id="id5da03f7bc6804a3eab5f6d91db5df109"><enum>(II)</enum><header>Impact on domestic laws</header><text>An entity described in subparagraph (A) may not alter the domestic law of a country that is a party to an international partnership agreement entered into under this title, including subchapter E of the Internal Revenue Code of 1986, as added by title I. </text></subclause></clause></subparagraph></paragraph></subsection><subsection id="ide99b831d8ed9476fa8ca8081a2f90e92"><enum>(d)</enum><header>Timeline</header><paragraph id="id8e662d6d34404fd6b27b7d3910379b62"><enum>(1)</enum><header>In general</header><text>The requirements described in subsection (c) with respect to an international partnership agreement are required to be achieved—</text><subparagraph id="id34285701adac470284bb5d466202fae0"><enum>(A)</enum><text>for high-income countries and upper-middle income countries, not later than 3 years after entering into the agreement; and</text></subparagraph><subparagraph id="id974fbe84b13c4a29b1619b7b2970fe53"><enum>(B)</enum><text>for low-income countries and lower-middle-income countries, not later than 5 years after entering into the agreement.</text></subparagraph></paragraph><paragraph id="ide12972a5b1b64f2c98c58d5176d47741"><enum>(2)</enum><header>Applicability of benefits</header><subparagraph id="idb96f23e2b2d44b5d95e1f7dd96cc14ba"><enum>(A)</enum><header>In general</header><text>Countries described in paragraph (1)(A) shall not receive the treatment described in <external-xref legal-doc="usc" parsable-cite="usc/26/4694">section 4694</external-xref> of the Internal Revenue Code of 1986, as added by title I, until the requirements under subsection (c) are met.</text></subparagraph><subparagraph id="id6e1f200fb5c943da87c8c19fd368b36d"><enum>(B)</enum><header>Termination</header><text>The United States shall maintain the right to terminate an international partnership agreement if the requirements under subsection (c) are not met in the time described in paragraph (1). </text></subparagraph></paragraph></subsection><subsection id="id3a55f5ad49134fd5928f076d838a8b29"><enum>(e)</enum><header>Ex ante congressional-Executive international partnership agreements</header><paragraph id="id63e6282798f54f03b4ac66c3cc96563a"><enum>(1)</enum><header>In general</header><text>The United States Trade Representative may, at the direction of the President, enter into and carry out an international partnership agreement entered into under this title without the approval of Congress if the agreement—</text><subparagraph id="idf6fdcb2806094b6a82a83833a0f1b84e"><enum>(A)</enum><text>complies with the requirements under subsection (c); and</text></subparagraph><subparagraph id="id7125650e50f74925a41bd358db067803"><enum>(B)</enum><text>does not require any alteration of subchapter E of the Internal Revenue Code of 1986, as added by title I.</text></subparagraph></paragraph><paragraph id="id302012e5c04e4eb6a6b1b9d6e41e5983"><enum>(2)</enum><header>Effect</header><text>An agreement described in paragraph (1) that complies with the requirements under subsection (c) shall qualify as an international partnership agreement for purposes of <external-xref legal-doc="usc" parsable-cite="usc/26/4694">section 4694</external-xref> of the Internal Revenue Code of 1986, as added by title I.</text></paragraph><paragraph id="idf4365e26f4dd430f9edc4b311c515bd3"><enum>(3)</enum><header>Publication; congressional review</header><text>An agreement entered into under this subsection shall be—</text><subparagraph id="idb2400109b21d4d759f3acdfcd6390b7c"><enum>(A)</enum><text>published in the Federal Register; and</text></subparagraph><subparagraph id="id6b9efe5411f5449fa8bd90b28d0ad978"><enum>(B)</enum><text>treated as a final rule prepared by an agency, including with respect to review by Congress under <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/5/8">chapter 8</external-xref> of title 5, United States Code (commonly referred to as the <quote>Congressional Review Act</quote>). </text></subparagraph></paragraph></subsection><subsection id="id827c5824df3442dab3745843a26237d9"><enum>(f)</enum><header>Ex post congressional-Executive international partnership agreements</header><paragraph id="id7097c647066d4160a8a9b20968eb82c8"><enum>(1)</enum><header>In general</header><text>An agreement shall be treated as a congressional-executive agreement and enter into force only if a joint resolution of approval is enacted in accordance to this subsection if any alteration of subchapter E of the Internal Revenue Code of 1986, as added by title I, is required to implement the agreement. </text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id3843850927ee49d3bc92e216456b56cc"><enum>(2)</enum><header>Submission to Congress and publication of agreement</header><text display-inline="yes-display-inline">The President shall—</text><subparagraph commented="no" display-inline="no-display-inline" id="id3b0d29f75b1f4836bb8a5d8febe220a6"><enum>(A)</enum><text display-inline="yes-display-inline">post the text of an agreement described in paragraph (1) on a publicly available website of the Office of the United States Trade Representative for not less than 5 business days; and</text></subparagraph><subparagraph id="idb9d98f6bd85b4fc2b1a6a405e5c858e6"><enum>(B)</enum><text>submit to Congress on a day on which both Houses of Congress are in session a copy of the final legal text of the agreement, together with—</text><clause id="idcbc5e893e5ee4c16818ced35182cc333"><enum>(i)</enum><text>an identification of any United States laws that may be inconsistent with the text; and</text></clause><clause id="id4b275a739e204e5987b9a610337b51ad"><enum>(ii)</enum><text>a statement of any administrative action proposed to implement the agreement.</text></clause></subparagraph></paragraph><paragraph id="idb9ac4661c0c149b39bb9c0d759d1aaf5"><enum>(3)</enum><header>Joint resolutions of approval</header><subparagraph id="idff6972cbd5904cd2b4cbc68e35231dab"><enum>(A)</enum><header>Definition</header><text>In this paragraph, the term <term>joint resolution of approval</term> means only a joint resolution the matter after the resolving clause of which is as follows: <quote>That Congress approves ____, submitted to Congress on _____</quote>, with the first blank space being filled with the name of the applicable international partnership agreement entered into under this title and the second blank space being filled with the appropriate date.</text></subparagraph><subparagraph id="id00ef6bb2cf9c4659b57331501b19fe8b"><enum>(B)</enum><header>Introduction</header><text>A joint resolution approving an agreement described in paragraph (1) may be introduced in either House of Congress by the chairperson or ranking member of one of the appropriate congressional committees.</text></subparagraph><subparagraph id="id9c4a90c2dbd6499ebb5beeb7f20fb0dd"><enum>(C)</enum><header>Procedures in house and senate</header><text>Except as provided in this paragraph, the provisions of subsections (d), (e), and (f) of section 152 of the Trade Act of 1974 (<external-xref legal-doc="usc" parsable-cite="usc/19/2192">19 U.S.C. 2192</external-xref>) shall apply with respect to a joint resolution of approval under this paragraph to the same extent and in the same manner as such provisions apply with respect to a joint resolution described in subsection (a) of that section.</text></subparagraph><subparagraph id="id12610a6c7e8c4c03ab06c07dc23080f7"><enum>(D)</enum><header>Referral</header><text>A joint resolution of approval shall be referred exclusively to the appropriate congressional committees.</text></subparagraph><subparagraph id="id1218c00fc3144a87b63d52b22a69be6a"><enum>(E)</enum><header>Discharge</header><text>If the committee of either House to which a joint resolution of approval has been referred has not reported it by the close of the 40th day after its introduction (excluding any day described in section 154(b) of the Trade Act of 1974 (<external-xref legal-doc="usc" parsable-cite="usc/19/2194">19 U.S.C. 2194(b)</external-xref>)), that committee shall be automatically discharged from further consideration of the joint resolution and the joint resolution shall be placed on the appropriate calendar.</text></subparagraph><subparagraph id="id05eac0da10e24a549fac84007b1fc83a"><enum>(F)</enum><header>Consideration</header><clause id="id74734c2909974845aa0a3b3974c08f4c"><enum>(i)</enum><header>In general</header><text>It is not in order for—</text><subclause id="id92bef16750b24cc3b0f7d563a700bdfd"><enum>(I)</enum><text>the Senate to consider any joint resolution of approval unless the joint resolution has been reported by the Committee on Finance or the committee has been discharged from consideration of the joint resolution under subparagraph (E); or</text></subclause><subclause id="idb20304e504074745ad4cc0cddf28b17f"><enum>(II)</enum><text>the House of Representatives to consider any joint resolution of approval unless it has been reported by the Committee on Ways and Means or the committee has been discharged from consideration of the joint resolution under subparagraph (E).</text></subclause></clause><clause id="id4f9b6959a40b4412be62bfd9dd970edc"><enum>(ii)</enum><header>Motion to proceed in House of Representatives</header><text>A motion in the House of Representatives to proceed to the consideration of a joint resolution of approval may be made only on the second legislative day after the calendar day on which the Member making the motion announces to the House the intention of the Member to do so.</text></clause></subparagraph></paragraph><paragraph id="idf55b5954a5fc4e49afaec60679d9c6da"><enum>(4)</enum><header>Rules of Senate and House of Representatives</header><text>This subsection is enacted by Congress—</text><subparagraph id="id8697366f6ed74a91b27a7ef3de2a9219"><enum>(A)</enum><text>as an exercise of the rulemaking power of the Senate and the House of Representatives, respectively, and as such is deemed a part of the rules of each House, respectively, and supersedes other rules only to the extent that it is inconsistent with such other rules; and</text></subparagraph><subparagraph id="idd4eb752d8e504d2096060dabbcb9fb69"><enum>(B)</enum><text>with the full recognition of the constitutional right of either House to change the rules (so far as relating to the procedures of that House) at any time, in the same manner, and to the same extent as any other rule of that House. </text></subparagraph></paragraph></subsection><subsection id="id8771a19c43dd47b59217dc7bb18cf4e2"><enum>(g)</enum><header>Inclusion in other international agreements</header><paragraph id="idafdc212385f543a2b5222f4b9f4a8a06"><enum>(1)</enum><header>In general</header><text>The United States Trade Representative, at the direction of the President, may seek to include an expansion of an international partnership agreement in any other international agreement entered into or renegotiated on or after the date of the enactment of this Act, such as—</text><subparagraph id="id17844f28d4d24b37adff4cdd6ae4ac4d"><enum>(A)</enum><text>a free trade agreement;</text></subparagraph><subparagraph id="id393bc27e42b54979aa1f6237641f235c"><enum>(B)</enum><text>an international agreement relating to environmental protections, sustainable development, or climate; or</text></subparagraph><subparagraph id="id180f4483f4d54afb9d161c088423a262"><enum>(C)</enum><text>a trade agreement involving international organizations such as the Organisation for Economic Co-operation and Development, the Group of Seven (G7), or any similar organization.</text></subparagraph></paragraph></subsection><subsection id="id9c9624b44cd040b1b69aef737a4e2b4c"><enum>(h)</enum><header>Restrictions on negotiations</header><paragraph id="id8660ace00b5c456b83c02e8ceda113d9"><enum>(1)</enum><header>Nonmarket economy countries</header><text>The authority provided by this section does not include the authority to negotiate or enter into an agreement with a nonmarket economy country if the country is—</text><subparagraph id="id3cc43b63f2e743149ff5ec41537374fc"><enum>(A)</enum><text>an upper middle-income country; or</text></subparagraph><subparagraph id="idf2b8f13344024b23b6667be31ea5e9b3"><enum>(B)</enum><text>a high-income country.</text></subparagraph></paragraph><paragraph id="id847c26bdf7034c54b76068aea5dd7fd5"><enum>(2)</enum><header>Domestic policies</header><text>The authority provided by this section does not include the authority to negotiate or enter into an agreement that would establish carbon taxes, fees, pricing, or other mechanisms that impose additional costs on products produced by a domestic producer by the United States.</text></paragraph></subsection></section><section id="id8d18dcfa5ed349ecb7bfebcb12748c0c" commented="no"><enum>202.</enum><header>Application of foreign pollution fee in partnerships</header><subsection id="id8b33abcf573f4e549bbada6aa1338c78" commented="no"><enum>(a)</enum><header>In general</header><text>In accordance with <external-xref legal-doc="usc" parsable-cite="usc/26/4694">section 4694</external-xref> of the Internal Revenue Code of 1986, as added by title I, no fee shall be applied under section 4691 of such Code with respect to a covered product imported from a country that is a party to an international partnership agreement entered into under this title if production of the covered product has a pollution intensity difference that is less than or equal to 50 percent.</text></subsection><subsection id="id2f023210c76f436e9dc6ff2710b613a3"><enum>(b)</enum><header>Failure To meet requirements</header><text>If a covered product is produced in a country that is a party to an international partnership agreement entered into under this title but does not meet the requirement described in subsection (a), the fee applied under <external-xref legal-doc="usc" parsable-cite="usc/26/4691">section 4691</external-xref> of the Internal Revenue Code of 1986, as added by title I, with respect to the covered product shall be determined based on the applicable tier (as described in paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/4692">section 4692(e)</external-xref> of the Internal Revenue Code of 1986, as added by title I) associated with—</text><paragraph id="id04d23323d9cc47f0baa0a9939dc884e5" commented="no"><enum>(1)</enum><text>the pollution intensity difference; reduced by</text></paragraph><paragraph id="id018e9a11f848499ba8cb685cb25afba3" commented="no"><enum>(2)</enum><text>50 percentage points.</text></paragraph></subsection><subsection id="iddb8ba0750af84ee19ff1397cf2421780" commented="no"><enum>(c)</enum><header>Treatment of low-Income and lower-Middle income countries</header><paragraph id="id0d3b19eb755b446088ffbf0c969804ce" commented="no"><enum>(1)</enum><header>In general</header><text>During the 5-year period following the entry into force of an international partnership agreement under this title between the United States and a low-income country or lower-middle-income country—</text><subparagraph id="idb33b03129d9a4fec84432c13e1d4cf8d" commented="no"><enum>(A)</enum><text>the pollution intensity requirement described in subsection (a) shall be considered to be met with respect to covered products produced in the country; and</text></subparagraph><subparagraph id="ida4532b0b8cba4050bb7d135fc8bd02ba" commented="no"><enum>(B)</enum><text>no fee shall be applied to covered products imported from that country.</text></subparagraph></paragraph><paragraph id="id4fde4ce7754946b987d364a8e9425219" commented="no"><enum>(2)</enum><header>Modifications to requirements</header><subparagraph id="id27568f270a5b4581b65bad368d7b66d7" commented="no"><enum>(A)</enum><header>In general</header><text>During the 10-year period beginning after the completion of the 5-year period described in paragraph (1), the pollution intensity requirement described in subsection (a) shall be considered to be met with respect to a covered product produced in a country described in paragraph (1) if new capacity in that country for the production of the covered product developed during the 10-year period described in paragraph (1) is not more than 50 percent more pollution intense than the baseline pollution intensity at the time of the entry into force of the international partnership agreement.</text></subparagraph><subparagraph id="idb46fddbaab414443a4e99fa68a102135" commented="no"><enum>(B)</enum><header>Future development</header><text>For the 10-year period beginning after the completion of the 10-year period described in subparagraph (A), and each 10-year period thereafter, the pollution intensity requirement described in subsection (a) shall be considered to be met with respect to a covered product produced in a country described in paragraph (1) if new capacity in that country for the production of the covered product developed during the preceding 10-year period is not more than 25 percent more pollution intense than the baseline pollution intensity at the beginning of such preceding 10-year period.</text></subparagraph></paragraph><paragraph id="id2fa9c802381a4e5c9754afb58fb139b6" commented="no"><enum>(3)</enum><header>Application of fee</header><text>If the requirements described in paragraph (1) or (2), as applicable, are not met with respect to a covered product, the fee specified in subsection (b) shall apply.</text></paragraph></subsection><subsection id="id64e0ca275e894b259921e027aedc1e94" commented="no"><enum>(d)</enum><header>Treatment of circumvention</header><text>Nothing in this section shall supersede <external-xref legal-doc="usc" parsable-cite="usc/26/4693">section 4693(g)</external-xref> of the Internal Revenue Code of 1986, as added by title I, with respect to potential circumvention of the fee assessed under section 4691 of such Code if—</text><paragraph id="id6793dfb814dc4b3180e759da460790c6" commented="no"><enum>(1)</enum><text>a determination is made under such section 4693(g) with respect to a producer; and</text></paragraph><paragraph id="ide2d4a2abc2334e5883f6437a4d214ce2" commented="no"><enum>(2)</enum><text>the producer is owned, operated, or financed in or by a country that is not a party to an international partnership agreement entered into under this title.</text></paragraph></subsection></section><section id="id42a69c8376674b5ebca25eef5b98460b" commented="no"><enum>203.</enum><header>Support for participation of low-income and lower-middle-income countries in international partnership agreements</header><subsection id="id30fb42b80d374f00899336c1d9506964" commented="no"><enum>(a)</enum><header>In general</header><text>The United States Trade Representative, at the direction of the President, may include, in an international partnership agreement entered into under this title with a low-income country or a lower-middle-income country, provisions providing for—</text><paragraph id="id9cc8639c09774867a5e0461d98aa0694" commented="no"><enum>(1)</enum><text>the provision of treatment described in section 202(c) to that country;</text></paragraph><paragraph id="id62f2ad42ddd2488ca333aad21d577d29" commented="no"><enum>(2)</enum><text>the extension of untied or tied aid through a United States export, development, or trade agency for energy or manufacturing technologies and projects;</text></paragraph><paragraph id="idc21a2e60e0fc4ecc912d7b85510ab8d5" commented="no"><enum>(3)</enum><text>lower initial requirements relating to pollution data monitoring and alternative methods to more accurately project and model pollution under the agreement;</text></paragraph><paragraph id="id90324bde364f446d906f4857c7267390" commented="no"><enum>(4)</enum><text>support for expansion of monitoring and reporting of pollution; and</text></paragraph><paragraph id="id498ec71fa7694c58809d050a34043b1d" commented="no"><enum>(5)</enum><text>technical assistance to ensure full compliance with the terms of the agreement.</text></paragraph></subsection><subsection id="ida6662ae050ca4ace98f457650048edca" commented="no"><enum>(b)</enum><header>Benchmarks and requirements</header><paragraph id="ida995fb6c00904f07b81edc515ef06861" commented="no"><enum>(1)</enum><header>In general</header><text>The United States Trade Representative shall establish benchmarks or requirements to assess the progress of a country described in subsection (a) in fully implementing the terms of the international partnership agreement entered into under this title.</text></paragraph><paragraph id="idc243ae5671954532a235fac5ba71c20c" commented="no"><enum>(2)</enum><header>Benchmarks</header><text>The benchmarks and requirements established under paragraph (1) with respect to a country shall include—</text><subparagraph id="id9b1bae4a73fa4d9f8464ae20b4507886" commented="no"><enum>(A)</enum><text>improving methods of monitoring, reporting, and verifying pollution levels;</text></subparagraph><subparagraph id="id1307e9607475400c9ab029d957b05d3f" commented="no"><enum>(B)</enum><text>if, after the entry into force of the international partnership agreement, new manufacturing or production capacity for a covered product is built in the country but that capacity is owned or operated, or the majority of the financing for that capacity is provided, by an entity associated with a country that is not a party to an international partnership agreement, treating the new capacity—</text><clause id="id9e7c22121961467b9a354b29cad7c1aa" commented="no"><enum>(i)</enum><text>at the pollution intensity of the country that is not a party to an international partnership agreement if the pollution intensity for the covered product produced in that country is greater than the pollution intensity of the covered product produced in the country that is a party to the international partnership agreement;</text></clause><clause id="id3edabef11e4c46c5b810fd070a00d210" commented="no"><enum>(ii)</enum><text>as not eligible for the treatment of a country that is a party to an international partnership agreement described in section 202; and</text></clause><clause id="id7a52e55e82b24dedbb0070291425fc87" commented="no"><enum>(iii)</enum><text>in accordance to the requirements of <external-xref legal-doc="usc" parsable-cite="usc/26/4694">section 4694</external-xref> of the Internal Revenue Code of 1986, as added by title I;</text></clause></subparagraph><subparagraph id="ida83b598ec30a4cf9a2b9b6f7059affb3" commented="no"><enum>(C)</enum><text>if, after the entry into force of the international partnership agreement, the ownership, a stake of ownership, or operation of manufacturing or production capacity for a covered product that is in operation on the date of entry into force is transferred to an entity in a country that is not a party to an international partnership agreement, treating such capacity—</text><clause id="id2CD207FBE3E14390950951F4772BC015" commented="no"><enum>(i)</enum><text>at the pollution intensity of the country that is not a party to an international partnership agreement if the pollution intensity for the covered product produced in that country is greater than the pollution intensity of the covered product produced in the country that is a party to the international partnership agreement;</text></clause><clause id="idF3A31DDEF96C4E6D9D7C762061B7E445" commented="no"><enum>(ii)</enum><text>as not eligible for the treatment of a country that is a party to an international partnership agreement described in section 202; and</text></clause><clause id="idA55F0DECA2544F6C93AF6B4A82403A14" commented="no"><enum>(iii)</enum><text>in accordance to the requirements of <external-xref legal-doc="usc" parsable-cite="usc/26/4694">section 4694</external-xref> of the Internal Revenue Code of 1986, as added by title I; and</text></clause></subparagraph><subparagraph id="ide7b0e82905d94b72aede02ac091ccc4d" commented="no"><enum>(D)</enum><text>in the case of an international partnership agreement with a nonmarket economy country that is a low-income country or a lower-middle-income country, making progress in developing a market economy.</text></subparagraph></paragraph></subsection><subsection id="id30d931f0fe1f47a983260c45d4e5290f" commented="no"><enum>(c)</enum><header>Termination</header><text>The United States shall maintain the authority to terminate the application of the provisions described in subsection (a) to a country if the country does not meet the benchmarks and requirements under subsection (b).</text></subsection><subsection id="idf1d4f82617e4400aa386f6eceb78bbae" commented="no"><enum>(d)</enum><header>Inclusion of other international partners</header><text>To the maximum extent practicable, the United States shall seek to include additional high-income countries and upper-middle-income countries in international partnership agreements entered into under this title with low-income countries or lower-middle-income countries.</text></subsection></section><section id="ide3c3a57d708c445583015bdd815ddb52" commented="no"><enum>204.</enum><header>Facility-specific agreements relating to pollution fees</header><subsection id="idf1d6995336684837b8249f6d0c9b4b01"><enum>(a)</enum><header>Authority To negotiate facility-Specific agreements</header><text>The United States Trade Representative may negotiate, in coordination with the Secretary of the Treasury and the Administrator of the Environmental Protection Agency, an agreement with a facility located in a foreign country that allows products produced at the facility to be treated at a pollution intensity specific to the facility.</text></subsection><subsection id="id61c99da263a346cf9863a5abddc557cf" commented="no"><enum>(b)</enum><header>Requirements</header><text>To be eligible for an agreement under subsection (a), a facility is required to—</text><paragraph id="id83a8a6f800b54910b5de1d22c3df3f57" commented="no"><enum>(1)</enum><text>consistently operate according to the standards a United States facility is statutorily required to abide by, for existing operations and any future expansion of operations, including such standards set forth under—</text><subparagraph id="idd63122dc529444d6937d149efee7c1d9" commented="no"><enum>(A)</enum><text>the Clean Air Act (<external-xref legal-doc="usc" parsable-cite="usc/42/7401">42 U.S.C. 7401 et seq.</external-xref>);</text></subparagraph><subparagraph id="id1a352adc3a36454ba278b3a6098fc83a" commented="no"><enum>(B)</enum><text>the Federal Water Pollution Control Act (<external-xref legal-doc="usc" parsable-cite="usc/33/1251">33 U.S.C. 1251 et seq.</external-xref>) (commonly known as the <quote>Clean Water Act</quote>);</text></subparagraph><subparagraph id="idaff631e5201a47f8ac6c73bf2d5878b4" commented="no"><enum>(C)</enum><text>the Safe Drinking Water Act (<external-xref legal-doc="usc" parsable-cite="usc/42/300f">42 U.S.C. 300f et seq.</external-xref>); and</text></subparagraph><subparagraph id="id443d998b67ac4aaa9e194cac6fac83a4" commented="no"><enum>(D)</enum><text>the National Environmental Policy Act of 1969 (<external-xref legal-doc="usc" parsable-cite="usc/42/4321">42 U.S.C. 4321 et seq.</external-xref>);</text></subparagraph></paragraph><paragraph id="id2ba14266a1634d41ac495f4e2e61c540" commented="no"><enum>(2)</enum><text>deploy pollution monitoring equipment able to report in real time the levels of pollution emitted by the facility;</text></paragraph><paragraph id="id3a93efb5f6fe42369363dfe8bf1024fd" commented="no"><enum>(3)</enum><text>provide real-time access to physical pollution monitoring by United States officials or their designees;</text></paragraph><paragraph id="id11c8f2848a3c4364aad844cee5e9e55a" commented="no"><enum>(4)</enum><text>allow for spot inspections by United States officials or their designees to ensure compliance with the requirements of the agreement;</text></paragraph><paragraph id="id6be11be0cdd847f7a678df29a26cf6a6" commented="no"><enum>(5)</enum><text>if the pollution intensity of the facility is higher than the pollution intensity of the United States or the least pollution intense foreign country that is a party to an international partnership agreement entered into under this title with the United States—</text><subparagraph id="id2cb555897d084cc899a968efb4cbf8d5" commented="no"><enum>(A)</enum><text>provide actionable benchmarks to decrease the pollution intensity of the facility so that pollution intensity is equal to or less than the pollution intensity of the United States or such other country not later than 10 years after entering into an agreement under subsection (a);</text></subparagraph><subparagraph id="idd592aaf39b89440e995960b956977174" commented="no"><enum>(B)</enum><text>achieve the benchmarks described in subparagraph (A) during the 10-year period described in that subparagraph;</text></subparagraph><subparagraph id="ida8fdc630c5ec4b3da8c31c2164b4fd19" commented="no"><enum>(C)</enum><text>provide actionable benchmarks to decrease, by not later than 20 years after entering into an agreement under subsection (a), the pollution intensity of the facility to an intensity not less than 50 percent lower than the pollution intensity of the United States at the time of entry into the agreement;</text></subparagraph><subparagraph id="id3d6eec596b0f41358897c6b89110fe96" commented="no"><enum>(D)</enum><text>achieve the benchmarks described in subparagraph (C) during the 20-year period described in that subparagraph; and</text></subparagraph><subparagraph id="ida7d325b62a1e4795881424480e581378" commented="no"><enum>(E)</enum><text>ensure that any pollution reduction technology used in achieving the benchmarks described in subparagraph (A) or (C) contains not less than 50 percent of components of United States origin;</text></subparagraph></paragraph><paragraph id="id3f8e4273d00446b39e738428b72b614b"><enum>(6)</enum><text>account for any upstream pollution—</text><subparagraph id="idf1d83cdda6bd4b2ca45f37c068a6f33e"><enum>(A)</enum><text>at the level associated with the pollution intensity of the country in which the contributing part or transforming part is produced, unless the part is covered by an agreement entered into under subsection (a); or</text></subparagraph><subparagraph id="id1d97771ff1b74985a1ef4950cd06261c"><enum>(B)</enum><text>if determined appropriate by the United States Trade Representative and provided for in the agreement, based on an applicable standard of the International Organization for Standardization;</text></subparagraph></paragraph><paragraph id="idfe14b4982bbc4b97bab9830eb2f1e2e3" commented="no"><enum>(7)</enum><text>identify the covered entity with respect to covered products produced at the facility if the covered entity is not the owner of the facility; and</text></paragraph><paragraph id="id0b1e4550723444218954f1b61337a1dd" commented="no"><enum>(8)</enum><text>ensure the agreement may be terminated at the sole discretion of the United States if the facility is not in compliance with any requirement under this subsection.</text></paragraph></subsection><subsection id="id3542efa47b1c46e2a853e7d15333050f" commented="no"><enum>(c)</enum><header>Consultation with congress</header><text>The Trade Representative may not conclude an agreement under subsection (a) with a facility unless—</text><paragraph commented="no" display-inline="no-display-inline" id="id5ca4681684f14f56b29295f10fc30a0d"><enum>(1)</enum><text display-inline="yes-display-inline">the Trade Representative—</text><subparagraph id="id3a558a61a9584293af1db9a3c2866446" commented="no"><enum>(A)</enum><text>informs the appropriate congressional committees of the intention of the Trade Representative to pursue negotiations with the facility not less than 2 business days after commencing negotiations;</text></subparagraph><subparagraph id="id70d8d51281ea4c23984ef15821ba2b0d" commented="no"><enum>(B)</enum><text>shares the text of the proposed agreement with the appropriate congressional committees for not less than the lesser of—</text><clause id="id7a875bc0668941379ad8c83b19643650" commented="no"><enum>(i)</enum><text>12 days on which both Houses of Congress are in session; or</text></clause><clause id="id2664cc1630cf4992b4fd906ea2261f4c" commented="no"><enum>(ii)</enum><text>60 calendar days; and</text></clause></subparagraph><subparagraph id="idb5143f2696dc41ccaeae5fe55583cfad" commented="no"><enum>(C)</enum><text>responds to all inquiries regarding the terms of the agreement from the chairperson or ranking member of one of the appropriate congressional committees before concluding the agreement; and</text></subparagraph></paragraph><paragraph id="idfb439c69101c41d2a6ecf167081785b2" commented="no"><enum>(2)</enum><text>a resolution of disapproval is not enacted during the period described in paragraph (1)(B).</text></paragraph></subsection><subsection id="id79092cdcb80f474ea79084cb2854d60b" commented="no"><enum>(d)</enum><header>Treatment of the agreement</header><paragraph id="id23bbfa1dd32b41069a3d673616df8a8a" commented="no"><enum>(1)</enum><header>In general</header><text>Any agreement entered into under this section with a facility shall allow a product produced by the facility and imported into the United States to be assigned to the tier (as established under <external-xref legal-doc="usc" parsable-cite="usc/26/4692">section 4692(b)</external-xref> of the Internal Revenue Code of 1986, as added by title I) aligned with the pollution intensity difference of a product produced by the facility and the baseline pollution intensity.</text></paragraph><paragraph id="id969051447a094b00ad151da47efb318f" commented="no"><enum>(2)</enum><header>Restrictions</header><text>Under no circumstances may an agreement entered into under this section require the United States to alter the implementation of this Act.</text></paragraph></subsection><subsection id="ide348990341bb472db20fddb347eba130" commented="no"><enum>(e)</enum><header>Ineligibility of state-Owned facilities in nonmarket economy countries</header><text>A facility in a nonmarket economy country is not eligible for an agreement under this section if the facility—</text><paragraph id="ide2612acb5402466b8f1846b74aba0a45" commented="no"><enum>(1)</enum><text>is owned, partially owned, or operated by the government of the country or an entity owned or controlled by that government; or</text></paragraph><paragraph id="id2fbb99a46c6541fb9bad122a93ea0a98"><enum>(2)</enum><text>has received financing, including in the form of a tax credit or a limit on tax liability, to operate the facility by the government of the country or an entity owned or controlled by that government.</text></paragraph></subsection><subsection id="id98022c46de064dbca27f360f9317a068"><enum>(f)</enum><header>Transparency</header><text>The Trade Representative shall promptly publish a description of the proposed agreement under this section in the Federal Register. </text></subsection></section><section id="id4d7533caf1ac4a41821eeabc429b5330" commented="no" display-inline="no-display-inline" section-type="subsequent-section"><enum>205.</enum><header>Definitions</header><text display-inline="no-display-inline">In this title, the definitions set forth in <external-xref legal-doc="usc" parsable-cite="usc/26/4697">section 4697</external-xref> of the Internal Revenue Code of 1986, as added by title I, apply. </text></section>